Bitcoin is the world’s first cryptographically made currency, getting huge acceptance around the globe. Most of the individuals and businesses are now adopting this digital money in their payment networks, which is the most innovative payment system of all time created for future possibilities.
Like any other great invention Bitcoin is also facing certain criticism, but this will never stop this digital currency to become one of the major payment network of the future. Because, it has got all those characteristic that was never present in past currencies.
But those who are new to Bitcoin, or those who are unknown to this future money, may think about, is bitcoin legal or is it only useful for the illegal activities by the bad guys? This post tries to let you understand the concern!
Is the Bitcoin Currency legal?
To the best of experts knowledge, Bitcoin has not been made illegal by any legislation in most of the jurisdictions across the world. However, some jurisdictions like: Argentina and Russia severely restrict or may ban foreign currencies.
Many other jurisdictions in the world such as: Thailand may also try to limit the licensing of certain entities like Bitcoin exchanges and bitcoin trading platforms with no reasons.
Regulators from different jurisdictions are already taking steps to provide individuals and businesses with ideas on how to integrate this new kind of money with formal, regulated financial system.
A bureau in the U.S. Treasury Department, the Financial Crimes Enforcement Network (FinCEN), issued a non-binding guidance on how it characterizes certain activities involving virtual currencies.
Is Bitcoin Useful for the Illegal Activities?
Bitcoin is also money, and from the beginnings money has always been used both for legal and illegal purposes worldwide. The cash, credit cards and current banking systems hugely surpass Bitcoins in terms of their use to finance crime and illegal activities.
Bitcoin is developed to bring significant innovation in future payment systems and the benefits of such revolutionary innovation, are often considered to be far beyond their potential drawbacks.
Bitcoin is designed to be a wide step forward in making global money more secure and could also act as a significant protection against many forms of financial crimes and bad activities.
For instance, bitcoins network is completely impossible to counterfeit. It’s users are in full control of their payments and couldn’t receive unapproved charges such as with credit card frauds.
Bitcoin transactions are irreversible and immune to fraudulent charge-backs which has been happening around the world with current financial and banking systems.
Bitcoin is designed to allow money to be secured against theft and loss using a very strong and useful mechanisms like: backups, encryption, and multiple signature keys.
Many concerns have been raised around the world that Bitcoin could be more attractive to criminals, because, it can be used to make private and irreversible payments.
However, these features were available in past, and already exist with present cash and wire transfer systems, which are widely used and well-established across the world.
The use of this digital money will undoubtedly be subjected to similar regulations that are already in place inside ongoing financial systems, and it’s not likely to prevent criminal investigations from being conducted.
In general concept, it is common for important breakthroughs to be perceived as being so controversial before their benefits are well understood by the general pubic.
To understand everything about its legality, or usefulness only to illegal activities, the Internet is a great place among many others to illustrate this easily.
The bitcoin is the future of money, and it’ll not stop! What do you think, is it legal or would be useful only to those who are in illegal activities?
Please let us know! What do you think about this revolutionary digital currency of present and the future? Via your comments!