And besides, when all of us use cryptocurrency the government and soon the country economy will collapse because there's no way to tax people if they are using crypto and not fiat.
I do accept majority of the factors you mentioned including BTCitcoin replacing fiat because it is impossible to do micro transaction in third world countries considering their currency valuation and not everyone is rich enough to afford an internet connection but when it comes to taxation you will be liable to pay your tax and once the exchanges will be regulated by the government and the only way to purchase the coin is through your bank account everything will be transparent, all you need to do is disclose you crypto profits and pay the tax accordingly to be on the good side of the law.
Topic: Cryptocurrency can not replace fiat currency. - page 13. (Read 2200 times)
And besides, when all of us use cryptocurrency the government and soon the country economy will collapse because there's no way to tax people if they are using crypto and not fiat.
I do accept majority of the factors you mentioned including BTCitcoin replacing fiat because it is impossible to do micro transaction in third world countries considering their currency valuation and not everyone is rich enough to afford an internet connection but when it comes to taxation you will be liable to pay your tax and once the exchanges will be regulated by the government and the only way to purchase the coin is through your bank account everything will be transparent, all you need to do is disclose you crypto profits and pay the tax accordingly to be on the good side of the law. Cryptocurrency could replace Fiat but it would take so much time.
And about the volatility of the price there is already some stable crypto that could be used like USDT so it only depends on the adaptation.
BTC price volatilitiy is still a problem for most of the people to use it.
And using crypto is much more easier than it looks people just need to take some time to know it.
This has been discussed many times and I don't think cryptocurrency can replace fiat. Many people still not adopting this kind of technology. Although using crypto as payment could really help to ease work and less hassle. Yes with btc price volatility is one of the major concern by many that's why most prefer using fiat instead of crypto. And about the volatility of the price there is already some stable crypto that could be used like USDT so it only depends on the adaptation.
BTC price volatilitiy is still a problem for most of the people to use it.
And using crypto is much more easier than it looks people just need to take some time to know it.
Yes of course, Crypto takes a long time to be able to replace fiat money as a legal currency used by all people. Until now, there are still many people who do not understand about the world of Crypto, so it is difficult to make Crypto as a recognized currency, but I personally believe that in the future Cryptocurrency will be able to replace fiat money.
But we've all seen how credit card payments drive Fiat out of everyday life. The same can happen with non-cash payments, when they will be replaced by the national digital currency. Most likely, most people will not even notice this, as they will continue to pay with the card.
You actually did not give strong reasons why cryptocurrency can't replace fiat currency. Cryptocurrency can actually/theoretically do most things fiat currencies can do, but I doubt typical fiat currencies can safely do most things cryptocurrency can do with losing their centralization. Besides, government can run their fiats on Blockchain or other real decentralized system.
Crypto could actually work better in rural areas than fiat, even without relying too much on internet. But I believe safe/crypto-friendly worldwide rural internet coverage is a possibility in the future
Can I use crypto offline? LOL. Crypto cannot replace fiat, like it or hate it but that's a fact. We can't use any crypto for micro-transactions because the fee alone will take the value of the product that you are going to buy. Not all people have access to internet and not all people have smartphones and computer, and just saying that two aspect, not all people can use cryptocurrency. We cannot replace fiat with cryptocurrency simply not all of people are afford to have the requirements to use it. And besides, when all of us use cryptocurrency the government and soon the country economy will collapse because there's no way to tax people if they are using crypto and not fiat. Crypto could actually work better in rural areas than fiat, even without relying too much on internet. But I believe safe/crypto-friendly worldwide rural internet coverage is a possibility in the future
Yes of course, Crypto takes a long time to be able to replace fiat money as a legal currency used by all people. Until now, there are still many people who do not understand about the world of Crypto, so it is difficult to make Crypto as a recognized currency, but I personally believe that in the future Cryptocurrency will be able to replace fiat money.
But we've all seen how credit card payments drive Fiat out of everyday life. The same can happen with non-cash payments, when they will be replaced by the national digital currency. Most likely, most people will not even notice this, as they will continue to pay with the card.
Payment cards are far from cryptocurrency. Cards have been successful for making the society a cashless place. Although, it is digital in nature but at least it can be feeled by the presence of the card but not like bitcoin. Anyway, it is going to take a longer time.
Yes of course, Crypto takes a long time to be able to replace fiat money as a legal currency used by all people. Until now, there are still many people who do not understand about the world of Crypto, so it is difficult to make Crypto as a recognized currency, but I personally believe that in the future Cryptocurrency will be able to replace fiat money.
But we've all seen how credit card payments drive Fiat out of everyday life. The same can happen with non-cash payments, when they will be replaced by the national digital currency. Most likely, most people will not even notice this, as they will continue to pay with the card.
Yes of course, Crypto takes a long time to be able to replace fiat money as a legal currency used by all people. Until now, there are still many people who do not understand about the world of Crypto, so it is difficult to make Crypto as a recognized currency, but I personally believe that in the future Cryptocurrency will be able to replace fiat money.
But we've all seen how credit card payments drive Fiat out of everyday life. The same can happen with non-cash payments, when they will be replaced by the national digital currency. Most likely, most people will not even notice this, as they will continue to pay with the card.
Also people tends to use fiat currency more than bitcoin when it comes to paying bills, buying a car, house and their necessities.
That's not really a fair comparison. People majorly spend fiat for these things because every company accepts fiat. There are very few companies which will accept bitcoin for a car, a house, bills, etc. I spend bitcoin everywhere I can, and often buy gift cards with bitcoin for places I can't spend it directly.With fiat, we can control price. With crypto, that is not possible.
We can't control anything. The Federal Reserve or other central bank can control it for the benefit of them and the government, not for the benefit of the average person. The only price controlling that the average person sees is the purchasing power of their fiat constantly decline over time.Government can still create their own cryptocurrency, but it’s going to be centralized and citizens will be able to convert their fiat, e.g USD, for the cryptocurrency as an asset. And they are going to have their own blockchain.
Unlikely it would be a blockchain. Any government run "crypto" will be entirely centralized as you say. Little point in running a blockchain when you want to keep complete authority and control over the coin.
Some people here are really confused. The op is probably right. Yes cryptocurrency cannot replace fiat because it is decentralized and cannot be controlled by the government. If it cannot be controlled by the government then don’t see the need for it, because they believe that the way cryptocurrencies like bitcoin functions they can lead to a lot of bad stuffs and can be used for illegal purposes and other things that are not good without the government being aware of it.
The fiat system is centralized and is being controlled by the government and you should read the importance of centralization. Government can still create their own cryptocurrency, but it’s going to be centralized and citizens will be able to convert their fiat, e.g USD, for the cryptocurrency as an asset. And they are going to have their own blockchain.
The fiat system is centralized and is being controlled by the government and you should read the importance of centralization. Government can still create their own cryptocurrency, but it’s going to be centralized and citizens will be able to convert their fiat, e.g USD, for the cryptocurrency as an asset. And they are going to have their own blockchain.
Yes of course, Crypto takes a long time to be able to replace fiat money as a legal currency used by all people. Until now, there are still many people who do not understand about the world of Crypto, so it is difficult to make Crypto as a recognized currency, but I personally believe that in the future Cryptocurrency will be able to replace fiat money.
But we've all seen how credit card payments drive Fiat out of everyday life. The same can happen with non-cash payments, when they will be replaced by the national digital currency. Most likely, most people will not even notice this, as they will continue to pay with the card.
Cryptocurrency could replace Fiat but it would take so much time.
And about the volatility of the price there is already some stable crypto that could be used like USDT so it only depends on the adaptation.
BTC price volatilitiy is still a problem for most of the people to use it.
And using crypto is much more easier than it looks people just need to take some time to know it.
And about the volatility of the price there is already some stable crypto that could be used like USDT so it only depends on the adaptation.
BTC price volatilitiy is still a problem for most of the people to use it.
And using crypto is much more easier than it looks people just need to take some time to know it.
I do not agree that cryptocurrency cannot replace fiat currency, because overall cryptocurrency is still better when compared with fiat
currency. If the reason is only because the price of cryptocurrency is volatile, it is because that uses crypto the amount is still very
small. Because if cryptocurrency is used by most of the world's population, I'm sure the price will be more stable. And the government
inevitably has to accept cryptocurrency if there are already many users. But there are indeed obstacles some people don't follow the
development of technology and it will be very difficult for them to use cryptocurrency in their daily lives.
currency. If the reason is only because the price of cryptocurrency is volatile, it is because that uses crypto the amount is still very
small. Because if cryptocurrency is used by most of the world's population, I'm sure the price will be more stable. And the government
inevitably has to accept cryptocurrency if there are already many users. But there are indeed obstacles some people don't follow the
development of technology and it will be very difficult for them to use cryptocurrency in their daily lives.
There are still strong reasons why cryptocurrencies may replace fiat currency in the very near future. When we go through the archives of history books, we would realise that fiat currency also took some time before it replaced the ancient system of trading or making payment of service such as the barter trade system.
Until everyone on our planet has free access to the Internet and devices in their hand from which they could have access to it, cryptocurrencies will not be able to replace fiat. I doubt very much that your bitcoins will help you in the Mekong jungle or in the Sahel. 
There are still strong reasons why cryptocurrencies may replace fiat currency in the very near future. When we go through the archives of history books, we would realise that fiat currency also took some time before it replaced the ancient system of trading or making payment of service such as the barter trade system.
Yes of course, Crypto takes a long time to be able to replace fiat money as a legal currency used by all people. Until now, there are still many people who do not understand about the world of Crypto, so it is difficult to make Crypto as a recognized currency, but I personally believe that in the future Cryptocurrency will be able to replace fiat money.
It is true that cryptocurrency cannot replace fiat. They are technically different (crypto is decentralized, fiat is centralized). There are design tradeoffs. It's like saying apple will replace orange. With fiat, we can control price. With crypto, that is not possible. You can design a system that fudge the line between fiat and crypto. For example, Ethereum has a minimum viable issuance schedule. It's difficult to interpret this monetary policy. But they can probably manipulate its supply to control price.
I think cryptocurrency will force fiat to become better. That will be a win for people. I came up with a diagram to illustrate different kinds of cryptocurrency.
Original Post: https://bitflate.org/post/2019/11/10/emerging-markets-of-cryptocurrencies.html
When we move between centralization and decentralization, we get different kinds of currencies. Cryptocurrencies don't compete directly. They'll compete in their categories. For example, cryptocurrencies with limited supply are competing for the Store of Value use-case. I think future currencies will strike good tradeoffs. They will offer people convenience and transparency.
I think cryptocurrency will force fiat to become better. That will be a win for people. I came up with a diagram to illustrate different kinds of cryptocurrency.
Original Post: https://bitflate.org/post/2019/11/10/emerging-markets-of-cryptocurrencies.html
When we move between centralization and decentralization, we get different kinds of currencies. Cryptocurrencies don't compete directly. They'll compete in their categories. For example, cryptocurrencies with limited supply are competing for the Store of Value use-case. I think future currencies will strike good tradeoffs. They will offer people convenience and transparency.
There are still strong reasons why cryptocurrencies may replace fiat currency in the very near future. When we go through the archives of history books, we would realise that fiat currency also took some time before it replaced the ancient system of trading or making payment of service such as the barter trade system.
Not all individuals are really used in technology, so how could they handle their money if they are not familiar with the technology.
This is a valid point. I still think there is a hurdle to overcome with bringing bitcoin to the tech illiterate. As the percentage of the population who have grown up immersed in technology increases, however, this problem becomes ever smaller.
. This hindrance for attaining mass adoption is not as big as it seems, it only requires eagerness from crypto lovers like us to educate those who are not familiar with. We can already spread the word even in our own little ways; when we are on the streets or just hanging out with our love ones 
. 
You actually did not give strong reasons why cryptocurrency can't replace fiat currency. Cryptocurrency can actually/theoretically do most things fiat currencies can do, but I doubt typical fiat currencies can safely do most things cryptocurrency can do with losing their centralization. Besides, government can run their fiats on Blockchain or other real decentralized system.
Crypto could actually work better in rural areas than fiat, even without relying too much on internet. But I believe safe/crypto-friendly worldwide rural internet coverage is a possibility in the future
Even though I didn't include some strong reasons why cryptocurrency cant replaces fiat currency, it is really accurate, because as we all know, there are still some existing rural places in our world, who are deprived of knowledge about technology and money. So how will be the life to them if cryptocurrency will replace fiat?Crypto could actually work better in rural areas than fiat, even without relying too much on internet. But I believe safe/crypto-friendly worldwide rural internet coverage is a possibility in the future
The volatility of the cryptocurrency also makes it be not standard money to all of us because it will be so hard for us if there will be a transaction that uses money, which is a cryptocurrency that always changes its value day by day, can you imagine that? It will be hard for so many aspects of our life if we will have cryptocurrency in real life. Even if this cryptocurrency becomes more popular in the future, I don't think that it would replace our traditional system.
You actually did not give strong reasons why cryptocurrency can't replace fiat currency. Cryptocurrency can actually/theoretically do most things fiat currencies can do, but I doubt typical fiat currencies can safely do most things cryptocurrency can do with losing their centralization. Besides, government can run their fiats on Blockchain or other real decentralized system.
Crypto could actually work better in rural areas than fiat, even without relying too much on internet. But I believe safe/crypto-friendly worldwide rural internet coverage is a possibility in the future
yeah exactly. "it will be hard to adopt" is not the real reason why cryptocurrencies won't replace fiat its an excuse not to work hard for the result imo.Crypto could actually work better in rural areas than fiat, even without relying too much on internet. But I believe safe/crypto-friendly worldwide rural internet coverage is a possibility in the future
I see only one reason why crypto can possibly not become next fiat - people's skepticism about crypto and blockchain overall.
But honestly I think its a matter of time when most of population will understand and accept digital currencies.
Not all can afford high fees with slow transaction process.
What high fees? The vast majority of my transactions are made with fees of 1 sat/vbyte, which works out as a couple of cents. Even if you sre paying something like 40 sats/vbyte to guarantee placement in the next block with every transaction, you are still talking less than a dollar in fees for most transactions. For microtransactions then you can make Lightning transactions with fees so small they are irrelevant. Credit card fees are up to 3% per transaction. Transactions also aren't slow. Credit cards transactions can be reversed for several months after they have been made. Bitcoin transactions are final within an hour. For instant transactions, again you can use Lightning.
Although there are still other "altcoins" that offer fast transactions with low fees
The reason altcoins can be faster per confirmation is because they are less secure than bitcoin. Most altcoins will take several thousand confirmations and and several days or weeks to reach the security Bitcoin achieves in an hour.They have different advantages and uses so it is not worth it to compare. Digital currency like bitcoin is more on about investment and faster transactions. This currency can be stocked and it will surely preserve the value of money. But when it comes to practicality, fiat currency is really the best option to use if you're buying goods and anything in the market. Also people tends to use fiat currency more than bitcoin when it comes to paying bills, buying a car, house and their necessities. Bitcoin can also be a material for payment or transaction but as people are using fiat currency for so long, it will never be vanished or become replaced because most of the people prefer to use fiat.
Jump to: