Could Bitcoin be banned?

Bitcoin symbol on a phone screen

The quick answer is not really, as it would be very tricky to shut down the entire decentralised Bitcoin blockchain that lives on thousands of computers across the world. Bitcoin is borderless and there’s no central authority that can be held to account. That said, there are ways that governments and authorities can hamper its progress.

Governments can clamp down on companies and activities that enable the widespread use of Bitcoin, including cryptocurrency exchanges, Bitcoin mining, Bitcoin investment activities by traditional financial institutions such as banks, and the purchase of goods with Bitcoin inside a country. Generally, when this happens consumer confidence is negatively affected and the price of Bitcoin falls as a result. 

Bitcoin’s value lies in the strength of its community, which can be impacted by government bans on Bitcoin activity inside its borders.

Did you find this useful?
19
1