Ignoring for a moment the relation between US foreign policy and terrorism, or between the drug war and drug violence...
The problem here is banks and established payment processors banding together to squash their potential competition. Not only do these regulations touch upon bitcoin (a rather insignificant collateral victim), but on startups that may want to reshape the money transaction business.
People who want to do evil things are not really limited in their scope by these rules. It's frighteningly easy to make explosives or to build weapons. A dedicated madman can do a lot of damage, with scarcely anything "authorities" can do against it. Curtailing fundamental freedoms and keeping dossiers on every citizen is a tool to create tyranny rather than protect the people from random murder.
The problem here is banks and established payment processors banding together to squash their potential competition. Not only do these regulations touch upon bitcoin (a rather insignificant collateral victim), but on startups that may want to reshape the money transaction business.
People who want to do evil things are not really limited in their scope by these rules. It's frighteningly easy to make explosives or to build weapons. A dedicated madman can do a lot of damage, with scarcely anything "authorities" can do against it. Curtailing fundamental freedoms and keeping dossiers on every citizen is a tool to create tyranny rather than protect the people from random murder.