Harvard Economics Professor - Regulatory pressures will destroy bitcoin

Some Harvard economics professors believe Bitcoin will eventually be destroyed by government regulation. Professor Kenneth S. Rogoff said the environment created by financial anonymity eventually led to regulation that destroyed Bitcoin.

Anonymous small-value virtual currency transactions is reasonable, but a large number of anonymous payments difficult to implement taxation is also very difficult to prevent the occurrence of criminal activities.

Jeffrey A. Miron has the same idea. Although he is a liberal, he still believes that the central government will eventually make the technology disappear. He said:

It is possible for the government to co-exist peacefully with the cryptocurrency and not accept it as a payment method, which is what I think the government should do. But in fact I guess the government will oversee the encryption of money, sooner or later, until they disappear.

The impact of government regulation is real, given the fact that many countries have begun to limit the public access to or trade in bitcoin and other cryptocurrencies.

However, what we need to understand is that bitcoin itself is not anonymous. Users often misunderstand bitcoin's "false anonymization" feature. If bitcoin is really anonymous, the IRS can not use Chainalysis's services to track tax evasion that involves bitcoin revenue.