Bitcoin can be shut down anytime, according to Bloomberg Digital and the lead executive editor Joe Weisenthal. As per him, the regulators can shut down and decide to bring an end to BTC and cryptocurrency in general, putting a full stop against creating Bitcoin-based investment products.
The editor at Bloomberg was in the crypto news for warning institutions against creating a Bitcoin-based investment product and stated that they could become a tool to take capital from the fiat markets. He cited a Bitcoin exchange-traded fund and said that no regulators would want to approve fiat onramps to pump money in the Bitcoin ecosystem.
First, the editor believes that such a move would make fiat unattractive to investors. Second, he knows that it would increase the amount of illicit financial transactions. According to Weisenthal, regulators can shut down BTC because of its one critical use case: to facilitate trades that the governments and regulators do not want anyone to make.
This is what makes the cryptocurrency an ideal tool that is designed to serve criminals – and criminals only. Creating the new markets to inject more Bitcoin, therefore, would likely increase the number of financial crimes. One way or another, the editor believes that an average law enforcement agency would attempt to get rid of Bitcoin once and for all.
“If you’re building or launching these institutionally-grade products, how sure are you that down the road regulators won’t come in and shut it all down,” questioned Weisenthal. “There is so much interest in this space, but is anyone thinking this through?”
Aside from the fact that regulators can shut down BTC, Weisenthal thinks that Bitcoin is an ecosystem run by two kinds of users: speculators and transactors.
The editor at Bloomberg also noted that the Bitcoin protocol works when certain people expect more massive profits out of their so-called Bitcoin investments – or when they use BTC to conduct transactions away from the eyes of regulators. He even took it to Twitter and clarified his point.
In today's @Markets newsletter, I wrote about how the point of Bitcoin is do to the transactions that THE MAN doesn't want you to do (including illegal transactions). And the allowance of a Bitcoin ETFs would essentially be a big subsidy to this market https://t.co/e5TYtjIuOw pic.twitter.com/fkMbexuv8v
— Joe Weisenthal (@TheStalwart) October 17, 2019
Even though there are many people who disagree with Weisenthal such as Anthony Pompliano, the editor definitely raised some eyebrows with his analysis. In response to his view, the co-founder and partner at Morgan Creek Digital Anthony Pompliano said:
“You’re claiming that non-censorship is the only value prop of Bitcoin. What about the non-seizure element? What about the disinflationary monetary supply? Or the sound money element? Or pseudonymity? Please stop writing nonsense & misinformation.”
DC Forecasts is a leader in many crypto news categories, striving for the highest journalistic standards and abiding by a strict set of editorial policies. If you are interested to offer your expertise or contribute to our news website, feel free to contact us at [email protected]