A post on a listserv board by anti-drug prohibitionists today got my blood boiling! The post stated:
“Am interested in checking what people know and think about the use of “bitcoin” as a currency to purchase unregulated drugs via the internet.
Would regulation of this unofficial currency assist in reducing the ability
to purchase drugs internationally?
One of our members lost a son to adulterated cocaine purchased via bitcoins through a broker in Queensland”.
I had to reply and wrote:
“No sooner than one means of obtaining illicit drugs is stymied, another pops up to fill the void! Prohibition’s effect is to expose the public to ever more dangerous compounds and ever more ruthless criminal networks.
Silk Road, up again after temporary closure by the FBI, has spawned dozens of copycats, all using various forms of virtual money as the means of trade. Bitcoin is but one of numerous “currencies” used – it initially had a notional value on par with the US Dollar, Euro, etc.
Whilst “invented” by a Japanese mathematician and designed as much as an academic exercise as anything else, the Bitcoin world quickly spiralled out of control and was swept up in an acquisitive tsunami based on what the oft manipulated and highly cynical market notionally valued the now very sought after scrip to be worth.
After reaching Poseidon like heights, all too similarly unsustainable, the Bitcoin trade whirlwind blew itself out, collapsed and was regulated out of contention and then to really drive the point home, the U.S. indicated that it would be seeking to prosecute those it held responsible for trying to subvert the world’s monetary system!
Meanwhile, thanks again to prohibition, the root cause of runaway demand is flushing out fresh criminal entrepreneurs and every minute of every day, old, new and adulterated drugs, guns of every description and human beings are sold, bartered and stolen in what has become an anarchic super-supermarket!!
And to answer your question about regulating virtual currencies, that’s the whole point! You can’t regulate them!! Bitcoin only became exposed to regulation when it went to bed with the stock marketeers. It entered the bull ring (bear pit) out of greed and paid the price!
Dismantle prohibition if u ever wish to control drugs!