Bitcoin - Crypto Chat

No but if they have 20% of GDP coming from abroad and the aim is to be using Bitcoin as easier then it could affect the weekly shop. :+1: even if just to transfer to Dollars.

The new law means every business must accept Bitcoin as legal tender for goods or services, unless it is unable to provide the technology needed to do the transaction.

I thought this was an interesting take on whether El Salvador/Bitcoin is a good idea or not https://twitter.com/Frances_Coppola/status/1402644492411355138

Points around decoupling from a currency where there’s no control or influence make sense (to an extent), but to me, it’s utter madness, driven by a populist rather than an economist.

Two(ish) currency systems, extraordinarily high volatility, even when factoring the USD stability facility they propose, and a fragile country currently working through an IMF plan, which could now fall away. What could go wrong?!

Nice experiment for all the Bitcoin bros to opine on Twitter, Reddit & Co, not so nice experiment if you’re a Salvadoreño longing for the prospect of a more secure, stable future.

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Not sure how it will help the average person in El Salvador, surely its better to send dollars home to family rather than Bitcoin as this guy seems to say.

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You need to put on the shoes of those who don’t have a bank account to understand the benefits.

True but they could have used a different coin like the article says :+1: The amount of corruption in El Salvador and criminality may not end up giving Bitcoin any good PR and actually get linked with crime etc.

Besides if you sent $100 from US back home you know what they can buy roughly but with Bitcoin you don’t know if it will be enough to pay rent/bills etc due to volatility.

They want something that value itself over time to help people save, since they don’t do it today because keeping money at home is too risky.

Stablecoins wouldn’t make that possible, I think.

But can the people getting money sent back from US afford to save? And as I said more importantly if a tweet is sent out they suddenly can’t afford the basics. :grimacing: Bitcoin seems a bit of a luxury item to own as the volatility means it needs to be spare cash.

70% of El Salvadoreans don’t have a bank account. They probably don’t save nothing.

You can bet your bottom dollar they will all be downloading a bitcoin wallet though

And even if they save something, we know that money “stored in the mattress” doesn’t grow in value.

So which one do you prefer? Having a retirement from poverty or taking a chance on Bitcoin?

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I would probably prefer stability and not risk when poor. :+1: Obviously that’s just my view.

If I was one of them, I’d sell high and buy back in the dip :pinched_fingers:

If they could buy low sell high they have access to online money so maybe don’t need bitcoin.

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:joy: :joy:

That made me laugh out loud!

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Other companies might do exactly the same to protect their finances against inflation, I think.


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Ah so did El Salvador not have their own currency at all? That makes a lot more sense that they would look for alternatives. Maybe a few others like that will follow, countries who rely on currencies out of their control.

It used to have this

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