Throughout history, governments have imposed capital controls—restrictions on the free movement of money across borders—to protect their economies, manage currency stability, or prevent capital flight. Often implemented in times of crisis, these controls tend to surprise the average citizen, who assumes financial freedom is a given. Yet, as history has shown, when economic instability arises, governments prioritize self-preservation over individual financial autonomy.

Bitcoin, with its decentralized, permissionless, and censorship-resistant nature, offers a hedge against these restrictions, ensuring individuals retain control over their wealth regardless of governmental policies. This post explores the history of capital controls, why they happen, how they have affected individuals and businesses, and how Bitcoin provides a way out of this financial confinement.