Do you think governments are reluctant to legalize bitcoin due to hacking or other reasons or lack of knowledge for bitcoin to be legalized in all countries? What are the government's arguments for not legalizing Bitcoin?
BTC is legal in most countries, and a legal tender in only one. Only a few countries have a total ban on BTC and different countries regulate it in their own way, i.e some accept it as a financial instrument, but ban it as a payment option. Centralized government rule in their own way, and a decentralized network is not going to be too attractive to them, some countries also purport that they are protecting their citizens from crypto scams, but more scams happen with fiat.