What people don't understand about calls for regulations: IMF EXPOSED!

over 3 years ago (Edited)

^{Don't click on the image - I warned you : )}

First starters, I'd say I'm impressed how humans are becoming incredibly smart with their approach towards things or how not so easily reactive they are perhaps, given that for years, the emotions of people has been the major source of exploitation for the rulers, these days, it does not seem to be much of "business as usual" for them. With the IMF and many other government agencies, the case is no different and we should have already known by now.

FONGO - the failed attempts that keeps getting retested

FONGO is a weird word, probably nobody knows much or anything about it but it is simply an acronym for "Fear Of Not Getting Out". For most traders and investors, two things are the burdens they have to carry throughout the journey with great discipline to avoid disasters and this is "Fear Of Missing Out - FOMO" and "Fear Of Not Getting Out - FONGO" or as alternatively called FUD - Fear, Uncertainty and Doubts.

Every penny invested, put into or removed from these digital assets is influenced by either of these fears in one way or the other. So you see, it's either one is so afraid of not being invested to make big gains or fear losing his money for not exiting the market soon enough, so due to this obvious leaks, the authorities and no-coiners have made it a day's job to constantly throw triggering informations to destabilize people's faith in the system.

But how practical has that been? Let's see…

IMF warns El Salvador of a step too far

The most direct cost of widespread adoption of a cryptoasset such as Bitcoin is to macroeconomic stability. If goods and services were priced in both a real currency and a cryptoasset, households and businesses would spend significant time and resources choosing which money to hold as opposed to engaging in productive activities. Similarly, government revenues would be exposed to exchange rate risk if taxes were quoted in advance in a cryptoasset while expenditures remained mostly in the local currency, or vice versa.

This came as a result of El Salvador dipping its toes into the crypto economy by adopting bitcoin as legal tender. Merely looking at the sentiments in this article, it does appear credible as most opinions always seem, but if we pay more attention to what is being discussed and the points laid out, we'll realize how this is incredibly flawed with lies and quite an obvious plea to avoid the rid of the centralized governmental body.

Businesses have always spend a great deal of time planning and speculating on the most favorable assets or currencies to store or reserve their network value, this really has no impact on their productivity, every company has or should have a body for tackling this, it's all role playing so everybody in the system has a part to play.

The other obvious thing here is that this is a plea to the public to not use these assets so as to retain the government's power. Here is where we pay attention to "government's revenue" being brought into the discussion rather than explore what wide benefits the system would have for the growing population of business focused and financially smart individuals. More like the exploited value the government holds, this appears more important to them and as should be, El Salvador has never given ears but proceeded with more involvement.

IMF goes up against the biggest crypto industry in terms of user growth and exposure

Africa has been quite the topic of late with crypto adoption, and while many fear this movement for what it's worth - technology advancement and wide human-centric value spread, most of the world powers will not be happy with this.

I find the IMF's focus on Africa to be an attempt to limit the growth which tends to be very rapid of late. Africa is known to have quite a number of limitations when it comes to access to a flexible financial system as well as having any advantage in its product and services. For the most part, the people here are greatly disadvantaged and crypto is an opportunity to grow out of the shell of restrictions.

Regulating a highly volatile and decentralized system remains a challenge for most governments, requiring a balance between minimizing risk and maximizing innovation.

Africa is one of the fastest-growing crypto markets in the world, according to Chainalysis, but remains the smallest, with crypto transactions peaking at $20 billion per month in mid-2021. Kenya, Nigeria, and South Africa have the highest number of users in the region. Many people use crypto assets for commercial payments, but their volatility makes them unsuitable as a store of value.

Policymakers are also worried that cryptocurrencies can be used to transfer funds illegally out of the region and to circumvent local rules to prevent capital outflows. Widespread use of crypto could also undermine the effectiveness of monetary policy, creating risks for financial and macroeconomic stability.

The risks are that much greater if crypto is adopted as legal tender—as the Central African Republic recently did. If crypto assets are held or accepted by the government as means of payment, it could put public finances at risk.

When it comes to opinions from governmental bodies as the IMF, there is always a similar pattern at which information is released or communicated to the people and all of the time, it is always about government interest, the people are not relevant to these scumbags. Talk about maximizing innovations? The only thing the government looks to maximize is how much value to exploit and to think they already are secretly involved in crypto asset investment.

You see, it's funny when people don't see it that crypto has a lot of bank funds flowing through it and this has the government written all over it. We have silent parties moving in and it cannot be hidden, money doesn't just appear, people's pockets need to be opened. And shall we even talk about the illegal funds transfers and activities that crypto keeps getting termed for?

Everybody except the government it seems aren't so dumb to transact illegal funds via a public and distributed ledger, if there's KYC logged somewhere in the system, it can always be traced back to source but this isn't the case with fiat, you barely even have access to these data.

But the agenda hasn't changed, keep talking about how bad crypto is and hope the people will turn away from it as it is already obvious that it is not within the power of the government to regulate it, so the hard times for them are only just beginning!