# Will the US congress ever ban cryptos? **URL:** \ **Category:** In My Humble Opinion\ **Created:** [October 9, 2021, 11:46pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231 "2021-10-09T23:46:13Z")\ **Posts on this page:** 20\ **Page:** 1
**Author:** ![MaverocK](https://avatars.discourse-cdn.com/v4/letter/m/9de0a6/32.png) [@MaverocK](https://boards.straightdope.com/u/MaverocK)\ **Post date:** [October 9, 2021, 11:46pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/1 "2021-10-09T23:46:13Z")
> SEC Chairman Gary Gensler says that the SEC has no plan to ban cryptocurrencies as China has done. **He noted that it would be up to Congress to make such a decision.** Source: [SEC Chairman Gary Gensler: No Plan to Ban Crypto, It's up to Congress – Regulation Bitcoin News](https://news.bitcoin.com/sec-chairman-gary-gensler-no-plan-to-ban-crypto-up-to-congress/) How likely do you think it is that the congress will ban cryptos? ---
**Author:** ![Chronos](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/chronos/32/134_2.png) [@Chronos](https://boards.straightdope.com/u/Chronos)\ **Post date:** [October 10, 2021, 12:01am UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/2 "2021-10-10T00:01:55Z")
Why would they? The government has never banned any other sort of currency before. ---
**Author:** ![China\_Guy](https://avatars.discourse-cdn.com/v4/letter/c/779978/32.png) [@China\_Guy](https://boards.straightdope.com/u/China_Guy)\ **Post date:** [October 10, 2021, 1:31am UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/3 "2021-10-10T01:31:25Z")
Crypto currencies are huge energy sucks, have no real purpose besides shady dealings, if grows significant enough would be a monkey wrench to monetary policy, and undermines “legitimate” currencies. The USD is backed by the full faith and credit of the US government. Crypto currency is backed by the same thing that backed Tulip investors, which is to say jack squat. ---
**Author:** ![Maserschmidt](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/maserschmidt/32/18829_2.png) [@Maserschmidt](https://boards.straightdope.com/u/Maserschmidt)\ **Post date:** [October 10, 2021, 2:18am UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/4 "2021-10-10T02:18:07Z")
I’m not sure I see Congress outright banning them, but I do see them regulating cryptocurrencies to the point that they really aren’t cryptocurrencies anymore. ---
**Author:** ![epbrown](https://avatars.discourse-cdn.com/v4/letter/e/e47774/32.png) [@epbrown](https://boards.straightdope.com/u/epbrown)\ **Post date:** [October 10, 2021, 5:44pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/5 "2021-10-10T17:44:11Z")
How likely it is depends on how much Congress and their donors have invested. ---
**Author:** ![Saint\_Cad](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/saint_cad/32/18907_2.png) [@Saint\_Cad](https://boards.straightdope.com/u/Saint_Cad)\ **Post date:** [October 10, 2021, 6:14pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/6 "2021-10-10T18:14:50Z")
> [@Chronos](#): > > Why would they? The government has never banned any other sort of currency before. Are you forgetting about gold and silver certificates that were redeemable for their value in the corresponding precious metal? So-called "hard " currency. ---
**Author:** ![Chronos](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/chronos/32/134_2.png) [@Chronos](https://boards.straightdope.com/u/Chronos)\ **Post date:** [October 10, 2021, 6:46pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/7 "2021-10-10T18:46:33Z")
You can still get those, too. The government just got out of the business of selling them. ---
**Author:** ![Saint\_Cad](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/saint_cad/32/18907_2.png) [@Saint\_Cad](https://boards.straightdope.com/u/Saint_Cad)\ **Post date:** [October 10, 2021, 7:50pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/8 "2021-10-10T19:50:15Z")
But they are not redeemable any more. So in effect hard currency was banned in favor of fiat. ---
**Author:** ![Chronos](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/chronos/32/134_2.png) [@Chronos](https://boards.straightdope.com/u/Chronos)\ **Post date:** [October 10, 2021, 9:02pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/9 "2021-10-10T21:02:52Z")
You can still buy paper redeemable for gold or silver all over the place. The internet is full of ads for them. It’s just Uncle Sam who left that business, not everyone else. The analogous action would be for Uncle Sam to leave the crypto business, except (so far as anyone knows) they were never in that one. ---
**Author:** ![Bootb](https://avatars.discourse-cdn.com/v4/letter/b/e19b73/32.png) [@Bootb](https://boards.straightdope.com/u/Bootb)\ **Post date:** [October 10, 2021, 9:24pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/10 "2021-10-10T21:24:59Z")
> [@Chronos](#): > > Why would they? The government has never banned any other sort of currency before. Time for a history lesson. > **[Executive Order 6102](https://en.wikipedia.org/wiki/Executive_Order_6102)** > > Executive Order 6102 is an executive order signed on April 5, 1933, by US President Franklin D. Roosevelt "forbidding the hoarding of gold coin, gold bullion, and gold certificates within the continental United States." The executive order was made under the authority of the Trading with the Enemy Act of 1917, as amended by the Emergency Banking Act in March 1933. > The limitation on gold ownership in the United States was repealed after President Gerald Ford signed a bill legalizing private owner... ---
**Author:** ![Saint\_Cad](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/saint_cad/32/18907_2.png) [@Saint\_Cad](https://boards.straightdope.com/u/Saint_Cad)\ **Post date:** [October 11, 2021, 12:07am UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/11 "2021-10-11T00:07:22Z")
Maybe they’ll believe you. They certainly don’t believe me. ---
**Author:** ![markn\_1](https://avatars.discourse-cdn.com/v4/letter/m/f9ae1b/32.png) [@markn\_1](https://boards.straightdope.com/u/markn_1)\ **Post date:** [October 11, 2021, 12:20am UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/12 "2021-10-11T00:20:31Z")
The Stamp Payment Act of 1862 prohibits issuing currency with a value of less than $1. There seems to be a lot of discussion about whether cryptocurrency violates this law (still on the books), since it can be subdivided into tokens worth less than $1. This analysis (section 2.1) says they squeak by because the SPA explicitly mentions physical tokens: “any note, check, memorandum, token, or other obligation”. The “other obligation” part is dicey though. > **[Bitcoin as Legal Tender - Legal and Technical Challenges of Digital...](https://courtingthelaw.com/2020/07/22/commentary/bitcoin-as-legal-tender-legal-and-technical-challenges-of-digital-cryptocurrency/)** > > Abstract Since the inception of Bitcoin, individuals have been curious about its nature and the wonders it can reveal. Currency plays a pivotal role in our \[…\] Another one: > **[Does Bitcoin Violate the Stamp Payments Act? | JD Supra](https://www.jdsupra.com/legalnews/does-bitcoin-violate-the-stamp-payments-61619/)** > > Based on some recent articles, a number of people have asked whether Bitcoin might be declared illegal under an archaic law known as the "Stamp... ---
**Author:** ![blue\_infinity](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/blue_infinity/32/2817_2.png) [@blue\_infinity](https://boards.straightdope.com/u/blue_infinity)\ **Post date:** [October 12, 2021, 3:40am UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/13 "2021-10-12T03:40:00Z")
> [@Chronos](#): > > The government has never banned any other sort of currency before. In addition to the ban on gold mentioned by other posters, the US has also banned the currency of [Iran](https://en.wikipedia.org/wiki/United_States_sanctions_against_Iran), and put significant pressure on its allies to do the same. > An administration official explained that according to the new Executive Order “significant transactions in the rial will expose anyone to sanctions,” and predicted “it should cause banks and exchanges to dump their rial holdings.” ---
**Author:** ![dolphinboy](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/dolphinboy/32/330_2.png) [@dolphinboy](https://boards.straightdope.com/u/dolphinboy)\ **Post date:** [October 12, 2021, 4:34pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/14 "2021-10-12T16:34:32Z")
Unless cryptocurrencies become a direct threat to US currency I don’t see why Congress would ban them. The fact that they aren’t backed by anything just makes them a risky investment. The world is full of risky investments that people can legally buy. They are apparently a huge energy sink, and that could theoretically impact the US Economy someday, but we’re a long way from that happening. ---
**Author:** ![Fluffy\_PickleSniffer](https://avatars.discourse-cdn.com/v4/letter/f/77aa72/32.png) [@Fluffy\_PickleSniffer](https://boards.straightdope.com/u/Fluffy_PickleSniffer)\ **Post date:** [October 12, 2021, 6:10pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/15 "2021-10-12T18:10:27Z")
I don’t think they’ll ban them. They’re taxing them now (as property), so as long as they can make money from crypto, they’ll keep it around. [Virtual Currencies](https://www.irs.gov/businesses/small-businesses-self-employed/virtual-currencies) ---
**Author:** ![Alessan](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/alessan/32/465_2.png) [@Alessan](https://boards.straightdope.com/u/Alessan)\ **Post date:** [October 12, 2021, 10:18pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/16 "2021-10-12T22:18:38Z")
> [@Chronos](#): > > Why would they? The government has never banned any other sort of currency before. Maybe, but are cryptocurrencies, in fact, currencies? What defines a currency, anyway? ---
**Author:** ![Long\_Time\_First\_Time](https://avatars.discourse-cdn.com/v4/letter/l/ad7895/32.png) [@Long\_Time\_First\_Time](https://boards.straightdope.com/u/Long_Time_First_Time)\ **Post date:** [October 14, 2021, 10:51pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/17 "2021-10-14T22:51:59Z")
Certainly hope not as my daughter works for one of the companies. I’m doing my motherly duty of biting my tongue as she waxes poetic about how great it is to work for a crypto company named Kraken. At least as an CPA she can get another job if this one goes belly up. ---
**Author:** ![Pleonast](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/pleonast/32/1183_2.png) [@Pleonast](https://boards.straightdope.com/u/Pleonast)\ **Post date:** [October 15, 2021, 2:30pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/18 "2021-10-15T14:30:18Z")
I wondering why Congress would care about Big Foot or the Loch Ness monster, but I see I read the title too hastily. Although, there might be an untapped market in monster-themed currencies. ---
**Author:** ![BobLibDem](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/boblibdem/32/3149_2.png) [@BobLibDem](https://boards.straightdope.com/u/BobLibDem)\ **Post date:** [October 15, 2021, 3:06pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/19 "2021-10-15T15:06:46Z")
I wish they would. Seems to me that there is no legitimate reason to use cryptos, it’s all to avoid taxes or law enforcement. ---
**Author:** ![Oredigger77](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/oredigger77/32/3181_2.png) [@Oredigger77](https://boards.straightdope.com/u/Oredigger77)\ **Post date:** [October 15, 2021, 4:09pm UTC](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231/20 "2021-10-15T16:09:25Z")
Sure but if there is no legitimate use how is banning it going to make a difference? The drug dealer isn’t going to say oh no I can’t accept crypto because its illegal. At best banning it would just cement its use in the underground economy. [Next page](https://boards.straightdope.com/t/will-the-us-congress-ever-ban-cryptos/952231.md?page=2)