It is often suggested in news media that Bitcoin is a serious threat because it enables criminals to move ill-gotten gains anonymously.

It is easy to overlook the vastly more popular method of performing such illegal economic activities: fiat cash. Cash is much easier to move around anonymously and is significantly more difficult to trace than Bitcoin. It is far more easily, and much more often, used for money laundering and for funding criminal organizations and terrorist groups.

From zerohedge.com,

"But although virtual currencies have been grabbing headlines lately, the criminal economy is still overwhelmingly cash based. According to the report, this means that, whether they like it or not, perpetrators selling some form of illicit product are likely to be paid in cash. The more successful the perpetrators are and the more of the commodity they sell, the more cash they will generate. This is one of the reasons why the supply of cash - particularly high-value denominations - continues to rise beyond the pace of inflation, despite the advent of digital payment options."

Certain cryptocurrencies, such as Monero, do exhibit a greater potential threat in that they are untraceable. However, even untraceable cryptocurrencies must be "cashed out" at some point to be truly useful, at which point, they, in a sense, reveal themselves. Until cryptocurrencies supersede fiat altogether, cash will continue to be the preferred method of payment for nefarious activities.

Banks and politicians may point to Bitcoin as a threat in order to dissuade potential buyers from investing. It is evident that Bitcoin is, in fact, much less of a threat than fiat cash. It is doubtful that banks or governments will be calling attention to the dangers of fiat cash any time soon.

If you enjoyed this article, please consider donating to...
BTC: 1FadQUp6PxQcbt1sicLRDE3f7v2kQPpVBq
BCH: 13Gb1p2m9evD6jaR2ZEs1dyVPRWojKFEfY

sources:
http://www.zerohedge.com/
http://panamaadvisoryinternationalgroup.com