Be honest: The true regulatory target of BTC and stablecoins

Following the new cryptocurrency regulations, the community has split into two opposing views. One segment warns of a market collapse and urges an urgent escape; the other maintains an indifferent stance, repeating familiar mantras as they did in September. To be honest, the reality is much more nuanced than these two extreme narratives. The truth that many do not see is that regulatory authorities never intended to shut down cryptocurrency trading for ordinary investors, nor do they seek to shut down blockchain technology. What is truly under attack are stablecoins and all illegal financial operations that depend on them.

What Regulation Actually Protects

Let’s start with a fundamental and often overlooked principle: the recent notice is not a law banning individuals from buying, selling, or holding cryptocurrencies. Pure cryptocurrency trading is a personal activity of gains and losses — it has never been a crime; it is simply a fact. The uncomfortable reality that many prefer to ignore is that USDT has not been eliminated, the blockchain has not been shut down, and your crypto assets remain intact. Transactions on the blockchain, participation in DeFi, transfer of NFTs — as long as you do not convert to the local currency, authorities do not intervene. The key point is that the channels for converting local currency into stablecoins are the true focus of containment, along with all illegal financial activities that rely on this flow.

Stablecoins: The Epicenter of Regulatory Strategy

Looking at the 10-year history of cryptocurrency market regulation (from 2013 to 2021 and beyond), a clear pattern emerges. The target has never been the blockchain, never Bitcoin at around $68.07K, nor ETH, much less small investors. Every regulatory move has focused on a single goal: financial stability and sovereignty protection. Stablecoins USDT and USDC dominate the market with a disturbing essence — they represent the digital dollar, circumventing foreign exchange controls and conventional cross-border settlements. They drain local assets directly through the blockchain, facilitating secret transfers and fund leaks that compromise monetary integrity.

Why Stablecoins Are the Real Problem

Stablecoins function as infrastructure for illicit activities. Phone scams, online casinos, money laundering — approximately 90% of illegal capital circulates, hides, and changes form through stablecoins. If the regulatory system does not cut off the supply of stablecoins, all efforts to combat fraud, money laundering, and account blocking will be merely symbolic. Without this key measure, solutions are temporary and ineffective.

The Logic Behind the Regulatory Strategy

The solution is elegantly simple: eliminate stablecoins as intermediaries, completely disconnecting the local currency from the crypto ecosystem. This turns stablecoins into “water without a source, trees without roots” — deprived of practical utility. Being honest about this point means recognizing that this is not a war against blockchain or investors, but a structured defense of monetary sovereignty.

Those who understand this dynamic will survive the transition. Those who confuse stablecoin regulation with a ban on cryptocurrencies will be navigating blindly in a transforming market.