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I can't even imagine a world without a government. They're way too powerful and people to dumb to just let themselves disappear. We can talk about some utopian world, but that's a whole other level, we'd be talking pure fantasy.
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If Bitcoin actually beats the government, which I think is pretty much impossible, thoug, my guess is they'll just stick to being regulators, which is what they should've been doing anyway.
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We're talking about after that phase. What's next? No governments anywhere? 8 billion homesteads and citadels?