Will the End of Net Neutrality Impact the Bitcoin?

This past week, the Federal Communications Commission ended the net neutrality laws that had been passed in the United States a few years earlier. Such laws were designed to ensure that all online content providers treat such content in a fair and even manner.

However, there have been concerns surrounding how the end of net neutrality will impact the online world. Although supporters of the FCC argue that ending the laws ensures that businesses can become innovative and capable of producing new technologies, opponents argue that it could allow providers to charge extra for certain services. This includes the ability to slow down certain forms of content.

The changes are producing several concerns in the bitcoin field. Although there are no guarantees that the end of net neutrality will actually influence the bitcoin, there are still hypothetical solutions that might come about. These could potentially influence the bitcoin market and hurt its momentum if these do occur.

Preferred Exchange?

Most bitcoin purchases take place on exchanges such as Coinbase. However, online providers have the right to select preferred exchanges. This means that certain exchanges might be blocked by some providers or competitors would be substantially slowed down.

Any ISP that wishes to do this would have to be open about what preferences it uses. Also, an ISP could be subject to penalties for such an action depending on what takes place. This would ensure that the public is aware of what is happening and may deter such actions from taking place. Still, there are no guarantees this would prevent ISPs from having preferred exchanges.

Are Exchanges Risky?

There are also concerns among investors that some ISPs may interpret bitcoins and other cryptocurrencies to be dangerous investments. This could cause those providers to shut down certain exchanges altogether. Such an action might cause people to go onto the dark web and trade currencies illegally.

The End of Monopolies?

There are also considerations over how new exchanges and groups could be produced as ISPs favor certain entities. Newer groups might appear with the intention of following more accessibility standards. These include groups that can keep from being monitored by ISPs and can work effectively and in an organized manner. This might weaken the power of Coinbase or other exchanges that offer the bitcoin.

This may also cause physical exchanges to develop as more traditional trading markets could accept the bitcoin. Whether this would happen remains to be seen though.

Will This Happen?

It is unclear as to whether the FCC regulations ending net neutrality would actually take place. This comes as several states are suing the FCC over this move. Even with that in mind, there is a possibility for the bitcoin industry to be impacted depending on how plans for net neutrality go about and are carried along.

Whatever happens, it is clear that the bitcoin industry could be influenced by the changes the FCC is making. The extent of the changes or even if those changes will actually take place remains to be seen.