Bill Gates, one of the richest persons on the planet, has been fairly vocal about his dislike for crypto currencies. In his recent “Ask Me Anything” session with Reddit A, he said that crypto currencies cause deaths in a fairly direct way.
Bill Gates Shares His Concerns About Crypto Currencies
His reason for saying this was that crypto currencies aren’t regulated by the governments in any way, which makes them an ideal option for criminals to use them for criminal activities. Due to their completely anonymous nature, it’s extremely hard to almost impossible to trace the source of payment or the person the payment was made to.
Similarly, they can be comfortably used for other illegal activities like tax evasion, money laundering and a variety of other things of an illegal, and often unethical nature.
He clearly said that the most highlighting feature of crypto currencies was their completely anonymous nature, which is definitely not a good thing at all.
He then quickly added that the government being able to trace payments and find out about all the details about the payments being made for things like terrorist funding, money laundering and tax evasion is certainly a good thing.
He also mentioned that currently, crypto currencies are being widely used to buy drugs that are very dangerous and cause deaths, so there’s little doubt that it’s one of the rarest technologies causing deaths.
Talking about the financial implications of crypto currencies, he said that the popularity around ICOs and other crypto instruments is disastrous for long-term investors, due to they all being highly unstable.
We would like to make a note here that Gates is not far from the truth, given Bitcoin’s price has tumbled from its lifetime high of about $20,000 to hit a low of about $3,200 recently, as can be seen in the chart below.
Not being able to monitor is a huge disadvantage
While fans of crypto currencies like to praise how governments can’t monitor them, Gates doesn’t share the same opinion. In fact, he says that no regulatory authority being able to monitor crypto currencies is a huge disadvantage to the society. It would not only contribute to corruption, but also make the world a more dangerous place to live in.
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Gates’ concerns about crypto currencies are pretty valid. The “black” markets across the internet have boomed with the rise of crypto currencies. Sale of illegal commodities have become harder to control than it has ever been, as the buyers and sellers don’t need to use sources of payments that are regulated and traceable.
Similarly, it’s much easier to bribe officials these days without leaving any traces at all. The illegal markets operating over the Darknet seem to be flourishing with the increasing popularity of Bitcoin and other crypto currencies.
There’s little doubt that crypto currencies have been making it much harder for the legal authorities to curb crimes and illegal activities. The emergence of ransomware and other dangerous things is directly associated with the increasing use of crypto currencies as well.
And that’s without even getting into the fact that a huge number of ICOs are either scams or a disaster, with investors (or rather gamblers?) losing millions or, sometimes, tens of millions of dollars in a matter of a few months or even weeks.
The price of the biggest crypto currency, bitcoin, is far from stable as well, as discussed above. How can something with such wild price fluctuations can ever be used as a currency?
Let us know your thoughts in the comments below.