Yes, i agreed with you. You know, now, because the value of cryptocurrencies is based solely on the law of demand and supply and are generally not issued by a government or central bank, they are generally non-susceptible to interference by the government or some central authority. This makes them look scary to these governments and central banks as they cannot control the amount of Bitcoin in circulation.
Also, cryptocurrencies such as the Bitcoin were created as a solution to the problems created by banks. The normal banking procedure requires that a transaction goes through a central authority such as a bank which verifies and validates it before the transaction can be successful. This process sometimes can take a couple of days and in the process, charges are deducted. Cryptocurrencies have sought to completely remove the role of the banks as middlemen in the transaction process thereby making it possible for someone to perform his/her transactions online without the need for a bank. Transactions can be validated by the millions of users of the decentralized peer-to-peer network which the cryptocurrency uses. As such, the role of the bank is completely eliminated and with this elimination comes the elimination of service charges.
Again,cryptocurrencies are feared by banks and governments is that of the issue of privacy and anonymity. Generally, the creation of a crypto-wallet (some sort of cryptocurrency bank account) requires little or no personal and/or bank account information. It is possible for a user of cryptocurrencies to perform his/her financial transactions without any need to enter personal information. Now, what does this mean to banks and governments who use such information to keep an eye on their citizens? Lack of access to information; banks and governments can block someone’s account if they have no access to information regarding transactions.
In fact,cryptocurrencies are very transparent. All transactions on the blockchain can be validated by any member of the blockchain. Transactions can be seen by all even though no information is made available.