Quote from: bitbunnny on February 17, 2018, 05:54:30 PM

I think that regulation is something that is inevitable and more and more countries will decide to regulate Bitcoin in some way. But I don't think that regulation is equal to centralization. Bitcoin can be regulated and decentralized at the same time.
Regulation means seting some rules how Bitcoin should be treated, what is legal and what isn't, how it should be fitted into financial framework.
I think that regulation could strengthen Bitcoin and help it to be more accepted, we don't have to be afraid of that.

There is a thin degree of misunderstanding in terms of regulation and centralization as discussed in the quote. We all are aware that digital currencies have largely operated in a regulatory vacuum since bitcoin's debut in 2009. But governments and central banks are starting to pay closer attention, warning investors about potential scams. However, this regulation refers to the protocols and parameters laid down in a country specific framework. The central banks are trying to regulate Bitcoin into the same framework internationally. This has nothing to do with it being centralized or decentralized. Hence, they cannot be equated.

Bitcoin from day one has been created on the platform of decentralized digital currency. Top government officials at the World Economic Forum in Davos also signaled that more regulation could be on its way. Hence, if the central banks start to regulate the exchanges in their own individual framework, Bitcoin will definitely re-organize its mining process so that the implemented regulations could be further decentralized all the more.

Shrinath

Posts

Merits