The Death of Cryptocurrency? Government Opposes Decentralization – with Lado Okhotnikov, Ellen Hodgson Brown and Nic Carter opinions

The Death of Cryptocurrency? Government Opposes Decentralization – with Lado Okhotnikov, Ellen Hodgson Brown and Nic Carter opinions

Economic uncertainty on the agenda. In this context the banks are collapsing like a house of cards and cryptocurrency is becoming more and more attractive to investors. But not everyone is ready to accept it as a new phenomenon in the finance world. Some institutions continue to discredit the cryptocurrency showing their concerns about its impact on economic stability.

Cryptocurrencies Under Government Fire: Who Benefits?

Despite all the mistrust and doubts the blockchain technology on which the cryptocurrency is based continues to develop rapidly promising a revolution in many industries including the financial sector. And most importantly, cryptocurrency enables ordinary people to control their savings and not to depend on government and corporate structures.

As the saying goes: “In every discredit there is some truth.” Governments may be afraid of losing their control of finances but this does not mean that cryptocurrency does not have potential and will not continue to grow in the future. But after all “the one who does not look for new opportunities has already lost.”

The holders, in turn, faced a dilemma – to continue to hold coins or to get rid of them urgently transferring assets to a safe place. But where? And why is everyone freaking out all of a sudden? It would seem that the cryptocurrency is beneficial for investors and has only been growing in price recently, not counting the local decline.

However, it is not so. Cryptocurrency brings not only profit; it has its own risks that must be taken into account. Also do not forget that scammers and hackers are hiding in the cryptocurrency market and are trying to illegally gain access to your funds.

Cryptocurrencies are becoming more and more popular every day as an alternative to traditional financial instruments and this may pose a threat to the financial stability of states. Therefore, the governments of many countries are struggling to take measures to regulate this market. But how will this affect the price of the asset itself? After all if the regulator tackles a job it means there is a trouble ahead.

Well, what about the “hamsters”? It is important to take into account all the risks and disadvantages as well as monitor changes in the market. You should not rely only on other people’s opinions it is important to conduct your own analysis and make decisions based on your knowledge and experience.

Governments in Panic: Cryptocurrency Has Become a Real Threat to State Control

The topic of cryptocurrencies is almost the most discussed in the world of financial investments. And while many investors and traders are excited about the opportunities these assets offer many governments see them as dangerous and potentially damaging to the economy. This view is driven by many factors including lack of government control, opportunities for money laundering and currency exchange rate volatility.

Despite all this, for example, bitcoin continues to be one of the most profitable assets today and its market capitalization is steadily growing.

Lado Okhotnikov also speaks that crypto is not dead at all

The bitcoin exchange rate has fallen down and trading volumes have increased.

With the BTC/USDT rate falling in the background it can be seen that since June 2022 trading volumes have been gradually increasing. And what we are now seeing is called divergence which indicates the prerequisites for future growth. But for this you need to first accumulate “fuel” to start. So there is a transfusion of the money supply from the banking sector into the crypto sphere with the simultaneous squeezing out the weak players along with the hesitating ones.

Over the past three months alone five billion USDTs have been printed and 16.68 billion USDTs have been poured into the market over the past six months. And all this happens against the background of the US largest banks sensational collapses – First Republic Bank, Silicon Valley Bank, Signature Bank. Strange coincidence, isn’t it??

Lado Okhotnikov also speaks that crypto will overcome the state

Tether printed during the last month ~5 billion USD.

In order not to make loud statements – the chart shows how in 2008 banks began to fall one after another and now we are on the verge of another grand nix. Hold on tight!

Lado Okhotnikov believe that state is not useful anymore

The fall of the three largest banks in America over the past six months

At the same time the governments of many countries began to actively discredit cryptocurrencies using various methods of manipulation and intimidation although they do not notice themselves the fire under their noses.

One of the favorite methods is to call for citizens to get rid of cryptocurrencies as they pose a threat to national security and economic stability. Some, such as China, have already banned the mining and trading of cryptocurrencies while others, including the US, are trying to tighten regulation of cryptocurrencies.

Here’s what the experts think about it:

“The crypto world was jolted last week when the Securities and Exchange Commission (SEC) shut down Kraken’s staking program, much to the satisfaction of Chairman Gary Gensler and his team.” – Stiffing the Staker: the last suppression of crypto innovations by SEC.

One of the main arguments against cryptocurrencies is their potential use for illegal purposes such as terrorist financing, money laundering and drug trafficking. These are certainly serious problems that need to be addressed but is it worth discrediting the very idea of cryptocurrencies for this?

Perhaps the “big players” are trying to control and regulate the cryptocurrency in order to prevent its use for illegal purposes. However, instead of increasing their influence on the development of legislation to combat criminal elements, they instead organize a crusade against the pagans, in the role of which the supporters of the crypt act. This could result in law-abiding people who have used cryptocurrencies to invest and store their savings to also be affected.

Scandal in the World of Cryptocurrencies: Discredit or Truth?

One of the main examples of how well-wishers discredit cryptocurrency is the ban on its use in certain countries. For example, China has banned ICO (Initial Coin Offering) and demanded that all bitcoin exchanges be closed. This means that Chinese investors can no longer officially inject money into crypto projects and are not able to exchange them for fiat currency in their own country. This government decision restricts the financial freedom of its citizens and limits access to new and promising investment opportunities.

In addition, some use their media and other communication channels to spread negative information about cryptocurrencies, creating stereotypes and associations associated with it. They strongly criticize cryptocurrency claiming that it is dangerous and unstable and that it can lead to financial losses for investors.

Others, on the contrary, advocate the development of the crypto industry.

US presidential candidate Robert F. Kennedy Jr.: «Some advocate tight control of cryptocurrencies to prevent their use by criminals. But it isn’t just criminals who want privacy. So do dissidents and ordinary citizens. Governments harass their enemies and crush dissent by controlling bank accounts and payment platforms. Until we restore trust in government (a distant prospect) we need cash and crypto to ensure freedom».

And what if the government is deliberately developing a campaign to discredit the cryptocurrency for fear that it will provoke a sharp outflow of investments from banking structures because the largest banks are in the hands of private investors who have influence at the state level and because of it they do not want to lose the market?

This argument cannot be completely dismissed since there is indeed competition between cryptocurrencies and the traditional financial system. However, there are several factors to consider.

First, cryptocurrencies are still a small part of the financial system so they can pose a limited threat to banks. Besides, some banks have already started integrating blockchain into their services which may indicate that they see cryptocurrency as an opportunity for growth rather than a threat to their business.

Secondly, government regulators are concerned not only about the loss of the market but also about the possible risks for consumers associated with cryptocurrencies: the lack of guarantees for the assets integrity, the potential increase in fraud and money laundering.

Thirdly, the campaign to discredit cryptocurrencies may be caused not so much by the state’s fears about the loss of the market but by fears about the population safety and financial stability.

Why Have So Many Banks Failed Lately? Perhaps Due to the Assets Cross Flow into the Cryptosphere?

Yes, the cross flow of assets into the cryptosphere may be one of the reasons why many banks have begun to struggle. Cryptocurrencies represent a new, completely decentralized way of storing and moving money which leads to a change in existing financial structures.

Moreover, many people have begun to see cryptocurrencies as an alternative to traditional banking services which leads to a decrease in demand for banking services. In addition, the blockchain technologies behind cryptocurrencies can simplify and speed up many banking operations which can reduce the need for banks per se.

Remarkably, less than two hours after Jerome Powell’s May 3 speech on improving conditions in the banking sector, PacWest Bancorp showed that even the smallest words can have a big impact on financial markets and fell by 56.85% after the close of trading. At the same time Zions Bancorporation and Metropolitan Bank sank 16.2% and 7.8%, respectively, stopping trading.

Recall that the closure of First Republic Bank left depositors with more than $103.9 billion in frozen deposits and also led to losses on mortgage loans for residential and commercial real estate.

In Conclusion

As the famous aphorism says: “The pen is a powerful weapon but the word is more powerful than the pen.”

Governments in many countries are seriously considering cryptocurrency as a threat to financial stability and are fighting against its use.

I want to express the opinion that cryptocurrency is not only an innovative technology but also a mechanism for protecting private property. It allows you to bypass government regulators and secure your finances from government-imposed restrictions. But the banks, which are the main players in the financial market, are afraid of losing their dominant position and are trying to limit the cryptocurrency use with the help of regulators.

Despite the confrontation the cryptocurrency does not stop in its development. It is in the world of cryptocurrencies that true freedom and independence can be found but many obstacles must be overcome for it.

Expert Opinion

Lado Okhotnikov portrait

Lado Okhotnikov, CEO of, former CEO of

This week has been a real test for bankers as one bank after another filed for bankruptcy, evoking eerie memories of the 2008 financial crisis. The hype began after the unexpected collapse of Silicon Valley Bank in early March when everyone on Wall Street and even outside of it began to panic and wonder what went wrong and how regulators could have missed such signs that led to this bankruptcy. But before they even had time to recover a few days later regulators in New York closed and “acquired” Signature Bank, the main bank of large crypto companies (which, by the way, also dealt with real estate in New York).

In my opinion such a sequence of events cannot be accidental. Most likely someone decided to “tighten the nuts” and get rid of unwanted financial institutions fearing that they will begin to work closely with crypto-entrepreneurs, and thus, placing an additional weight on their scales.

Lado Okhotnikov counts that not much time will pass – a year or two – and cryptocurrency despite the universal resistance from state institutions will become an indispensable tool in the world of finance.

Many were stunned by the news including Barney Frank a former congressman and creator of the famous Dodd-Frank banking rules, who is a directors’ board member of Signature, found himself on the losing side of the latest banking crisis. He set financial watchdogs on the banks and the irony of his fate was too great to lose sight of. Frank has become a sort of “Dick Fuld,” the recently resigned chief executive of Lehman Brothers, according to Bloomberg. The Wall Street Journal, in turn, was ironic about the man who once kept his finger on the pulse of the banking industry.

My main belief for those who think that the financial world is too complex and better to stay away from it is that no one can avoid participating in this game no matter how hard they try. It is important to understand that cryptocurrencies are available not only for the elite, but on the contrary, they can become a real salvation for people with low incomes allowing them to improve their financial situation. As the great Winston Churchill said: “Success is the ability to move from one unsuccessful defeat to another without losing enthusiasm.”



Ellen Hodgson Brown is an American author, attorney, public speaker, and advocate of alternative medicine and financial reform, most prominently public banking.

How the War on Cryptocurrency Triggered a Banking Crisis.

“According to an article in American Banker titled “SEC’s Gensler Directly Links Crypto and Bank Failures,” SEC Chair Gary Gensler has asked for more financial resources to police the crypto market. Gensler testified at an April 18 House Financial Services Committee hearing:

[Crypto companies] have chosen to be noncompliant and not provide investors with confidence and protections, and it undermines the $100 trillion capital markets …

Silvergate and Signature [banks] were engaged in the crypto business – I mean some would say that they were crypto-backed …

Silicon Valley Bank, actually when it failed, saw the country’s – the world’s – second-leading stable coin had $3 billion involved there, depegged, so it’s interesting just how this was all part of this crypto narrative as well.”



Nic Carter. Partner at Castle Island Ventures. Active Member of Financial Market.

In a February 2023 article on Pirate Wires titled “Operation Choke Point 2.0,” laid out the case that the federal government was quietly attempting to ban crypto. In a 7,000-word March 23 follow-up titled “Did the Government Start a Financial Crisis in an Attempt to Destroy Crypto?” I was writes:

“The two most crypto-​focused banks, Silvergate and Signature, were forced into liquidation and receivership, respectively. The established narrative is that they made “bad bets” and lost, or that they couldn’t handle flighty depositors in the form of tech and crypto startups.

But there’s an alternative version of events being pieced together that is far more sinister …

The preponderance of public evidence suggests that Silvergate and Signature didn’t commit suicide – they were executed.

In January 2023, … [s]ome in the crypto space noticed highly coordinated activity between the White House, financial regulators, and the Fed, aimed at dissuading banks from dealing with crypto clients, making it far more difficult for the industry to operate. This is problematic because it represented an attempted seizure of power far beyond what is normally reserved for the executive branch.”