Economic Freedom or Control: Cryptocurrency vs Government-Authorized Digital Currency

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2 years ago
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Cryptocurrency vs Government-Authorized Digital Currency

Many of us had entered the cryptocurrency market because of the promise of economic freedom. And many of those that had chosen to stay believed that cryptocurrency had delivered on that promise.

Indeed, the decentralized nature of cryptocurrencies like Bitcoin Cash, Bitcoin, Ethereum, Litecoin, etc. allowed ordinary people like you and me to experience what true economic freedom is like.

As a currency not under any government, cryptocurrency have none of the usual restrictions that fiat money has. For example, Bitcoin Cash knows no border and can be used outside one’s own country or region.

Moreover, cryptocurrency is digital which mean that one could “carry” as much as one needed without having to worry of getting into trouble with the authorities by bringing too much cash when flying to other countries.

But what truly set cryptocurrency apart from fiat money though was the fact that no government controls it which means that whatever happens to one’s country, cryptocurrency won’t be affected at all.

These few examples alone were enough to show the superiority of cryptocurrency over fiat money which is one of the reasons why governments around the world are so eager to regulate the cryptocurrency market.

This brings us to our next subject: Government-authorized digital currency.

Digital currency like the Digital Dollar, Digital Euro, Digital Yuan, etc. is the government’s answer to the perceived “threat” of cryptocurrency.

It is the government’s attempt to once again gain control over the populace’s ability to earn money and economic freedom given to us by cryptocurrency.

Seeing the rising popularity of cryptocurrency, and the populace’s lack of confident in fiat money; the government must have figured out that the only way that they could compete and take back control is to fight cryptocurrency with their own “cryptocurrency” – digital currency versus digital currency.

However, our government(s) has a lot of work to do as cryptocurrency have long established itself. After all cryptocurrency is ahead of government-authorized digital currency by more than a decade which is a very, very early head start.

That being said, a decade head start had also given our government(s) the necessary tool to skip some process that cryptocurrency had to go through in order to reach its current height. Using this decade of data, digital currency like the Digital Dollar could establish itself a lot faster than cryptocurrency did. One could even say that government-authorized digital currency is standing on the shoulder(s) of a giant (cryptocurrency).

But despite the advantage enjoyed by digital currency (thanks to more than a decade of data gathered by cryptocurrency), it still has a long way to go before matching the achievement accumulated by cryptocurrency. Moreover, while government-authorized digital currency is still trying to find its footing, cryptocurrency is scaling mountains after mountains on its way to mainstream adoption.

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Government-Authorized Digital Currency Is All About Control

The existence of cryptocurrency has always been a huge thorn on government regulators’ sides and over the years has been battling to put cryptocurrency under governments’ control. But thanks to the decentralized nature of cryptocurrency as well as the countless people who believed in it, our government(s) had seen very little success in their attempts.

The most that our government(s) had accomplished over the years was to tax cryptocurrency and to force some regulations here and there but as a whole cryptocurrency remained relatively intact.

Since our government(s) sees very little chance in putting cryptocurrency under their control, they could only try to push it out of mainstream use by introducing and promoting the use of government-authorized digital currency like the newly completed Digital Yuan.

Our governments’ plan was to entice the populace to use their government-authorized digital currency instead of cryptocurrency like Bitcoin Cash. Once they succeed in enticing the public into using their digital currency, they could then start pushing cryptocurrency to obsolescence.

If our government(s) succeed in their plan, we might see a scenario similar to that of fiat money where only government-issued currency are legal where other types of currency are illegal.

Can you imagine a scene where every country have digital currencies of their own and people could only trade and transact with government-authorized digital currency because they succeeded in making cryptocurrency illegal or obsolete? I can, and I don’t like it…

Of course pushing cryptocurrency to obsolescence was easily said than done. After all cryptocurrency’s decade of achievement could not easily be overcome by some newcomers. Having established itself in the hearts of countless people, cryptocurrency cannot easily be replaced.

That being said, underestimating our government(s) is a huge taboo. If they (the government) stopped holding back, they’re more than capable of destroying cryptocurrency once and for all. The only reason they haven’t done so already was because they’re afraid of the economic impact that such a move would bring.

Moreover, the number of people involved in cryptocurrency should not be underestimated either. The numbers of people supporting cryptocurrency are so great that our government(s) needed to weigh the pros and cons of moving against it, or face the people’s wrath. After all history had already proven that when the populaces are angry enough, and/or numerous enough, they could even bring down the government.

But even if our government(s) were reluctant to use drastic measure against cryptocurrency, it doesn’t mean that they’re out of options. If drastic measures are not allowed, they could always resort to trickery and secret maneuvers. And it’s no secret that all politicians are good at trickery, after all one cannot survive in politics unless one knew a dirty trick or two.

Therefore, we must not only guard against plots that are out in open but plots hidden from our views as well. And considering how obsessed our government(s) in their desire to control the cryptocurrency, or rather, the digital currency market, it’s only proper that we guard against the unexpected.

 Final Say

The threat of government-authorized digital currency will always be present. As digital currency supported by their respective government, it has a huge advantage that cryptocurrency do not have. Thankfully, cryptocurrency has a decade of head start which is a huge advantage. But just because we had such a huge lead that doesn’t mean that we should be complacent.

No, in order to protect the lead that cryptocurrency currently have, we must always be vigilant against unexpected moves from our own government(s). It’s not an exaggeration when I say that cryptocurrency could only survive countless government regulatory onslaught because it has many supporters all over the world. Without supporters, cryptocurrency would have long ago been swallowed by our power-hungry government.


Thank you for reading.


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Avatar for beastion
2 years ago