praxeologist on Nostr: I’d argue that over-taxing #Bitcoin won’t be the state's way to fight it. Either ...

I’d argue that over-taxing #Bitcoin won’t be the state's way to fight it. Either they’re too smart to not to do it, or they’ll lose. Imagine what would happen if they over-taxed it—people would rely more on #P2P methods to buy and sell. Since it’s essentially a decentralized black market with no central authority, the price would rise significantly—not in the short term, but inevitably in the long run. It would be like the Prohibition era, but even harder for the state to control. This would be even more true in countries with dysfunctional governments. The same thing couldn’t happen with gold—there was no easy way to verify its authenticity. But with Bitcoin, don't trust, verify!

#grownostr