Topic: Bitcoin can't become world currency (at least now). - page 3. (Read 703 times)

Bitcoin and other cryptocurrencies are still relatively new, and their potential uses and impact on the global financial system are still being explored. While it is possible that some countries may attempt to make Bitcoin their official currency, as El Salvador has done, it is difficult to predict the long-term consequences of such a move.

One potential issue with using Bitcoin as a currency is that it is currently more expensive and slower to use than traditional fiat currencies. This is largely due to the limitations of the blockchain technology that underpins Bitcoin, which can only process a limited number of transactions per second.

Another challenge for Bitcoin is its volatility. While the price of Bitcoin has increased significantly in recent years, it is still subject to significant fluctuations in value, which could make it less attractive as a stable currency.

However, as the text suggests, Bitcoin does have potential uses as an asset and a form of anonymous money. Its decentralized nature and blockchain technology make it appealing to some users who value privacy and security in their transactions. Additionally, the emergence of other cryptocurrencies and blockchain-based technologies is helping to drive innovation and new use cases for digital assets.

Overall, the future of Bitcoin and other cryptocurrencies is still uncertain, and it is difficult to predict how they will ultimately be used and regulated.

The percentage of people using bitocoin is high, but the restrictions placed on it have kept some part of the world ignorant of the project because they feels that it's harmful and might cause the instability of the economic ratio within a country, some nations embrace it because they already seen the roadmap of cryptocurrency and it's a legit way to ease enormous earnings. Bitcoin existence was not intended to surpassed the growth range of fiat currency, rather was invented to create simple and smooth movement of payments of bills online, it's a digital currency that aides in the development of the modern technology era.

Bitcoin was never created to become a world currency but it was created to serve as an alternative especially like now that the banking institution is in crisis and the government barely safe them because they still replicate the exact strategy that led to the economic and banking system crisis.
Nevertheless, we can't be sure if Bitcoin will be widely accepted or used since the percentage of people that use Bitcoin now is still low, and if Bitcoin is widely accepted or used that has to do with the government's stance.

Well the point here is that USA is never is favor of bitcoin and will never support it openly. We have seen china resist bitcoin too and they often come up with a statement to ban it. Even China is looking to make its CBDC which shows that all these powers want to have control over the financial system and they just do not want to lose control by making bitcoin the mainstream currency.

Bitcoin is a people/s currency and it is upon us how we boycott these government institutions and insist on using bitcoin for our day-to-day transactions.

This is not all about the World currency but it is, I am not sure what to say about it but my personal feelings are that Bitcoin should need to be Universal Currency as a store of value to achieve the height of its glory until that I can't say anything. This topic has been discussed several times about the valuation of bitcoin, future prediction, store of value, and much which are quite similar to the OP.

The point to notice here is without a globally leading country's support bitcoin can never be a universal currency such as China or USA and if one of them will support it then the other will resist and both countries can never agree on the same decision. From the past developments, we can see that whenever a particular region starts supporting bitcoin the other one resist as previously China was supporting and the US was resisting, and after that things changed China banned Bitcoin completely and the Western world accepted it. Now again Asian market is interested in Bitcoin and other sides of the crypto market and the Western world is brutally resisting its adoption and law enforcement institute are suppressing it.

First, I don't think there are any consequences if a government of any country decides to adopt bitcoin and make it a legal tender for it's citizens.

Secondly, I think you are getting something wrong here, the fact that El Salvador made bitcoin a legal tender does not necessarily mean that it has become their official currency..
They country still have its official fiat currency, they made bitcoin a legal tender to give their citizens a second option, that is if incase you run out of fiat and own some bitcoin, then you can easily pay for goods and services using bitcoin, since it's a legal means of payment for goods and services..
I hope this is clear enough though.

Alternative or what, it doesnt matter as long it do works on how it should be then this is what mattering the most.People shouldnt really be that too unrealistic when it comes on replacing fiat because it
cant really be just possible. We might be seeing that decentralization might really become big in the future or could be a main trend but there's no way that it could replace out fiat no matter what.
Government couldnt really just let these things to pass on because fiat would really be always have the position when it comes to overall everyday transactions.
This is why its better to stick on what we do have now and on possible future.

I have bought many items using bitcoin from anyplace, and the best parts is, it's much easier to use than USD and even provides you any fiat can't offer, anonymity. If bitcoin is not called as a world currency now, I don't know what term suits it better. Of course you can't pay everything with bitcoin, but there are always other options that make it possible for you to use it.

I hope so, Bitcoin and crypto in general came to bring a change to the current format of economics, and bring at least an ounce of true ownership and freedom to owners of said assets, Totally different from the corruption of banks and political economic powers that hold control over most of society. Bitcoin is freedom

Bitcoin doesn't need nor banks nor their service, it is a whole processing system and currency at once. Why should we give any mediation work to banks? Just to help them to survive in the time when they don't feel okay? Bank system and bitcoin are based on different ideas and they can coexist for a while but in a distant future just one idea will win IMO as I can hardly imagine how can strong inflationary and deflationary systems work in the same economy at the same time. And I hope that we'll get a new economy with bitcoin.

Yes, people have got different definition for the term world currency. If we take it as anywhere accessible, then bitcoin is a world currency. Rather than the USD and Euro it is easy for bitcoin to be converted to cash and used. Though USD serves as the world reserve currency it can be easily used in very few countries around the world. Even the acceptance is found high for bitcoin in rest of the world where the nation have got their own national currency.

Bitcoin and USD have a similarity and that is both are currencies. They also have differences and that is Bitcoin is decentralized while USD is created by the banks. I think that it will be beneficial for Bitcoin if it has a good relationship with the banks because they can support Bitcoin in any of their services.

This makes Bitcoin adoption grow faster and bigger but don't worry, they still can't control Bitcoin and make it centralized. They only make the people's life easier by connecting the two currencies. Banks already made their own crypto which they can fully control and it was called CBDC. It still runs in the blockchain but it is only centralized.

And that will mean struggles to almost all the users who doesn't have any means to make use of their possessed coins. Fiat will always be there and it has been there for a reason, first is it's backed by the government by the respective countries which is controlled by them and it is widely used for commercial and other purposes. While bitcoin can somehow imitate fiat's use but we shouldn't forget in the first place why bitcoin was created and what is its goal. Surely none of that states that it will lead the currency someday.

Even in the long term, I think bitcoin will still be an alternative solution as a means of payment, not as a primary currency to replace fiat. I agree that the real use cases of bitcoin as a currency are still limited by many different country jurisdictions, but in the future we may see governments start to consider it as a means of payment to some extent. Of course this is possible when the government realizes that bitcoin is starting to dominate as an investment asset that is loved by millions of people in the world.

The most likely initial approach is about possibly paying taxes with bitcoins, in fact I have heard that some countries are starting to adopt it so far.

Yes, it's true that bitcoin was created not to replace the role of fiat currency and not to change people's views on finance, since the adoption of bitcoin has become increasingly popular, making some people think that bitcoin is feasible if used as a mainstream currency because bitcoin fully gives us financial freedom without interference third parties especially bitcoin can make it easier for us when we want to make transactions, whether we want to make payments or cross-border transactions, but I personally don't really expect bitcoin to become the mainstream currency because when that happens, many governments will issue strict regulations against their users.

I have lived this with hyperinflation, it doesn't matter in the end. You simply pay something "equivalent to" the time of transaction. Since its bitcoin, it averages in the end, so those times it went up balance with the times it went down, just like a proper mining pool without the PPS facade (fiat like).

The only people making this argument have lived in countries where their fiat has not crashed overnight, yet. Don't wait for it, once it comes it is too late, again, i lived the experience. You in "nice" countries should opt out of the fiat currency while you still have some wealth. You think the bankruns in the US are a joke? A problem in just a few banks and not the system itself? Think again... Just because you have never experienced it in your life, doesn't mean you won't.

Remember this, when it happens, you will NOT be able to preserve your wealth by moving to some other asset (including bitcoin). You must act NOW before it happens. Don't come crying if you lose all your wealth like many people in hyperinflation economies did in the past for ignoring this advice. Clock is ticking, the USD crashing from a widespread bankrun can only pull down the other fiats and banks, and its a very fragile ponzi scheme, the fractional reserve it can easily fail globally, it hasn't before, but it can. It just takes 10% of money being withdraw at the same time on a global scale, for example, from a panic after learning the USD is crashing...

You give to much trust too your politicians and institutions, don't. It is too late once it happens, remember that.

Depends on your definition of world currency... I've lived and worked in multiple countries and believe me, the dollar isn't as easily used or even sold as one might think. At least, not in the global South.

Now Bitcoin, I could sell it quicker and more easily in any of these countries (and often do). Fits the bill for me.

So you realized that there is an open secret of a scalability problem which occupies the minds of different developers. Second layer like LN is one of decisions was found (IMO not the best decision, but is can help for a while), there are some other as well. So right, bitcoin can't work the same way as popular payment-processing systems like Visa or Mastercard right now, but it is a matter of time and finding some new solution, and I'm sure developers will find some brilliant decision in the nearest future. It doesn't mean we should hurry with that but we should not worry too much as well.

especially knowing very well that most countries are bordered around democracy, honestly it's really difficult to make such decisions because politics is at the center of the action.. though making it legal tender is very much possible but many countries fear that it could negatively affect the performance of their local currency and most central banks won't endorse it.

Of course other countries will jump on the bitcoin buss as some economies are failing and will be out looking for a solution.


Consequences: looking back at the history of countries that have adopted bitcoin, most of their local currencies went under the bus and the only way to revive money spending was to use foreign currencies like the US dollar and bitcoin which was seen in Zimbabwe and Venezuela, but adopting a new currency means trashing/displacing your own currency for another but I don't it makes it any easy to bring back a new one after you try the like of bitcoin.


Devs have brought is the lightning network but honestly its not practical and the fact that "ordinary" transactions arent confirmed in real time this makes it difficult to adopt btc entirely though better alternative for these dying currencies.


Agreed, volatility makes it difficult to make bitcoin an everyday currency but a user can lock in its value by exchanging it for a stablecoin to  counter this, btw volatility works in two ways your portfolio could go positive or minus when markets are volatile so it is really not a bad thing tbh

Bitcoin will always stay peoples money, even if it is accepted everywhere, since it can only be controlled by democratic vote. So central banks can not enforce their stupid rules that are mostly of political nature, even if they would adopt bitcoin. This is the beauty of the system and can not be changed. Still we would need much larger block size to fit more transactions, in order to have a functunal main stream payment option.