A Bitcoin Ban Is Absurd

As derStandard.at reported today, SPÖ Federal Council member Stefan Schennach is calling for a ban on “Bitcoins” — citing the intensified fight against terrorism financing. Among experts, this demand is met with nothing but head-shaking.

“It is the first form of money that is controlled by no one and operates in a completely decentralized manner,” explains Johannes Grill, President of Bitcoin Austria. “Banning Bitcoin because of its possible use in illegal activities would be roughly like wanting to shut down the internet just to prevent possible misuse of the technology.”

A direct ban would be unenforceable anyway. Prof. Dr. Gerhard Rösl from the Hochschule Regensburg compares the chances of success to a legal ban on gravity.

Bitcoin is a free technology that provides a payment system anyone can use while also carrying its own currency. This open system is already driving a wave of innovation in the fintech sector. Consultancy firm Deloitte speaks of enormous potential — Bitcoin and blockchain technology could reshape entire business sectors.