There's no problem to use Bitcoin as a legal tender and keep fiat currency as legal tender at the same time.
The fact that many people don't have access to the internet or they lack financial and technical education is a problem that can be solved.Nobody is forcing 100% of the people in a country to use Bitcoin.Using Bitcoin is voluntary.Paper Bitcoins can be printed,for all those,who don't have computers and internet connection,but I really doubt that paper Bitcoin will be convenient,because the BTC price is volatile and constantly changing.
Topic: Is Bitcoin suitable to become legal tender? - page 3. (Read 515 times)
So why is all this important? One can easily say that there is no harm if people have the option to either use crypto as currency but also the freedom to not use it if they so choose.
I tend to agree and that was exactly what I'm going to say, there's no harm upon using Bitcoin or as an alternate way in using fiat. It brings a lot of benefits and since it's was have a legal tender there's no way to worry about the tax that can be collected by the government and turn a better economy. As long as citizens must be aware of the nature of Bitcoin, they were just fine. Keeping it and storing it to gain value is quite risky than using it as an alternative to fiat as a payment.
I'll say, yes, Bitcoin is suitable to become a legal tender but it depends on the country how they will threaten it. It's been a good decision when people have an option in choosing an e-currency which is very common worldwide as an online payment option.
I don't see any harm using bitcoin as a legal tender besides the fact that bitcoin might've come from illegal activities and was used so they can disposed of it immediately. Other than that, I don't think that there's nothing bad having bitcoin as a legal tender.
I agree, I also think that having BTC as legal tender is one step closer to taking the world of economy to the next level which is needed for an ever advancing technological world. In terms, of using it to me seems like a good idea to have an option and have people choose to use crypto or not - inevitably more and more businesses start incorporating it so it's a phase enabling people to slowly transition into an inevitable financial future.
Sure, there will be plenty of opportunity for people to be scammed and so with legalisation of crypto there need to be better awareness around this topics so people know how to stay safe.
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Look you are right from your point of view. And i respect your point of view. And i saw some experts are given their opinion which is also valid. But i want to say 2 things then you think bitcoin legal tender is needed or not.
1st things bitcoin is not want to be a countries native currency replace. So why we should think about that if bitcoin is legal tender then it could be unsustainable for fiat.
2nd bitcoin could be some other things for a country like Investment assest, Payment method and business. Which is a alternative of all digital things like stock market, bank. So it can't be harmful for fiat. Bitcoin could be a site currency.
Look now i say why country sould approve?
If government approved then people can easily buy sell bitcoin in their country which is less risky. What we faced in online p2p scam. This is the biggest factor. And lots of factor had.
Indeed, this has been thought about for a long time and is quite an interesting opinion. On the one hand, as a legal payment tool, it has received support from various parties, both Bitcoiners themselves and from the government, who are tired of the inflation rate of fiat currencies. But on the other hand, as you said, the difficulty level of internet access and the ownership factor will be an obstacle if Bitcoin is made the only currency of the country.
Therefore, Bitcoin in some countries is only an investment alternative that is aligned with gold and stocks. I think it's much better, because if in the future we make Bitcoin the only means of payment in a country, it will certainly trigger the price value of paying a piece of bread = 5000 sat. What about shipping and costs?
El Salvador has two options, so don't worry, we still see that El Salvador with two options, one of which is Bitcoin, of course the residents there are free to choose.
Therefore, Bitcoin in some countries is only an investment alternative that is aligned with gold and stocks. I think it's much better, because if in the future we make Bitcoin the only means of payment in a country, it will certainly trigger the price value of paying a piece of bread = 5000 sat. What about shipping and costs?
El Salvador has two options, so don't worry, we still see that El Salvador with two options, one of which is Bitcoin, of course the residents there are free to choose.
This will likely create caution for other trying to follow in El Salvadors footsteps. This might have devastating implications for crypto however. Looking back in time people still bring out Chernobyl to this day to justify not using nuclear energy.
I think as long as Bitcoin is not causing harm to the economy, which it shouldn't, people in the future shouldn't be too opposed to making Bitcoin a legal tender, like in your analogy with nuclear energy. But people might just say that it's not worth the effort if the example of El Salvador will show a very low adoption.
I think Bitcoin's success doesn't rely and shouldn't rely on governments supporting it. That would obviously be against Bitcoin's purpose.
I don't see any harm using bitcoin as a legal tender besides the fact that bitcoin might've come from illegal activities and was used so they can disposed of it immediately. Other than that, I don't think that there's nothing bad having bitcoin as a legal tender.
Government looting a country and taking it to another country is an example of illegal Fiat gotten money but still it's acceptable as a legal tender, so if same bad examples uses crypto-currency, it shouldn't be a legal tender why? I don't see any reason that makes Fiat acceptable as a legal tender and crypto-currency not acceptable, except for government trying not too undervalue their currency if Bitcoin or any crypto-currency becomes a legal tender. I will be willing to take a survey or count amongst students and workers in my area about if crypto-currency should be accepted, I will make a post if I can successful pull it off.
Making bitcoins a legal tender is honestly inevitable for sure, people are using it on a very big scale now a days, I know even if it's 40% of the population but the fact is, if you do look at those numbers, it's already a lot, therefore you have to understand the fact that these things needs time and good management.
The government needs to monitor it closely since they could honestly destroy the reputation of the whole crypto community, people would definitely have problems, there would be even more scammers involved, but it's the same thing for the banks and fiats as well, at the end of the day what's important is to realize that, bitcoins is just a tool, how it's used and how it's portrayed is honestly dependent on the people itself. All the government could do is to give them a complete freedom to use it and to protect their assets legally as well, which I do think is a very good move, even if it does bring some probelms, it's something essential for the future and there are no problems that can't be solved, are there.
The government needs to monitor it closely since they could honestly destroy the reputation of the whole crypto community, people would definitely have problems, there would be even more scammers involved, but it's the same thing for the banks and fiats as well, at the end of the day what's important is to realize that, bitcoins is just a tool, how it's used and how it's portrayed is honestly dependent on the people itself. All the government could do is to give them a complete freedom to use it and to protect their assets legally as well, which I do think is a very good move, even if it does bring some probelms, it's something essential for the future and there are no problems that can't be solved, are there.
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That’s a bit in the line of Bukele’s thought, to some extent:(translated from Spanish)
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1.1 million Salvadorians already use @chivowallet (and we haven’t yet made it available to 65% of phone models).
It seems that we’ll be able to bank more people in one month, that nationalizations and privatizations of the traditional bank managed in 40 years.
https://twitter.com/nayibbukele/status/1439062924534943753It seems that we’ll be able to bank more people in one month, that nationalizations and privatizations of the traditional bank managed in 40 years.
The second phrase denotes the speed of things in relation to traditional banking in the country. It also denotes the lack of a proper term to reference providing access to its citizens to BTC/USD through Chivo. He used the term "bancarizar" (to bank). How about Chivo Civilization – small joke here..
That’s one of the important arguments in favour of bitcoin often used, and here we may well see how banks are given a skip by many that initiate their transition to modern era digital money.
I am generally in agreement. However, we are not given many choices. There are only two questions that matter here. One is the exact question that you've raised. The other is: Is fiat suitable to become legal tender?
To your question, the answer may be a no. But to the other question, the answer is a definite and outright no. So whatever it is that makes Bitcoin unsuitable as a legal tender is not as insurmountable as fiat's.
To your question, the answer may be a no. But to the other question, the answer is a definite and outright no. So whatever it is that makes Bitcoin unsuitable as a legal tender is not as insurmountable as fiat's.
To those countries who are trying to follow El Salvador and them making Bitcoin as a legal tender, I'm pretty sure that these countries would make such better decisions because of the errors of El Salvador, with such an early stage, I was also expecting that there would be issues such as the lack of knowledge around Bitcoin, it can't be easy for someone new to crypto to just simply get the hang of it right away. On the other hand, I think Bitcoin as a legal tender is no problem really, it's just that we can't expect that the citizens would switch right away, good keypoints OP, but for me, in this early stage, we can just wait and observe more on how the government of El Salvador manage this.
whether bitcoin is suitable to be a legal tender, in my personal opinion it is not suitable for us to make bitcoin a legal tender, even though el salvador has made bitcoin a legal tender, but my little heart can't accept all of that, because I'm afraid , if bitcoin has been made a legal tender, the price of bitcoin will fall, and getting a profit in investing takes a very long time.
everyone must think so (the high price volatility in bitcoin that makes bitcoin unsuitable for legal tender) but for the long term, I see Bitcoin is very suitable to be a legal tender
so far our brains are still indoctrinated with a legal means of payment that must have a stable price but the emergence of bitcoin changes our view turning 180%
for now, there are still many who think that Bitcoin is not suitable as a legal tender but I believe that over time, everyone can accept bitcoin as a legal tender
If the government introduces something, do you think all the population of the country will welcome and use it? I don't think so. A country has multiple mobile financial services. Is all the population of that country using that? Or a person has been using all the services? No, I don't think so. Same even all the population has the ability to use Bitcoin they wouldn't use it. All population interests wouldn't be the same as well. But it won't prevent Bitcoin become a legal tender. It's true when any other country intends to legalize Bitcoin same as El Salvador, then most likely they will take a deep look at El Salvador to understand reality. So a negative impact from El Salvador would prevent Bitcoin adaption too.
Statista’s data is roughly the same as World Bank’s data for 2019’s Internet penetration, but it seems that it has since picked traction at a fast pace, and by beginning of 2021, it reached 50,5% of the population (+14,7% in a year). I figure the build-up to the Bitcoin Law may increase these figures sharply – we’ll see: https://datareportal.com/reports/digital-2021-el-salvador
Going over the full stats, it’s interesting to see that, for El Salvador:
30,4% has an account with a bank institution.
5,7% has a credit card.
3,5% has a mobile money account.
Besides the degree of internet penetration, managing some kind of e-money is not that wide spread. Both will likely rise now substantially, albeit there being a delay between the population’s current foundations, and how widespread the Bitcoin Law intends to be.
There’s logically a learning curve both to use the technology, and shielding from scams, that is going to take a while to overcome, and we’ll hear all sorts of stories on user experience in this sense. It’s a bold/wild bet that we need to see how it eventually plays through.
Going over the full stats, it’s interesting to see that, for El Salvador:
30,4% has an account with a bank institution.
5,7% has a credit card.
3,5% has a mobile money account.
Besides the degree of internet penetration, managing some kind of e-money is not that wide spread. Both will likely rise now substantially, albeit there being a delay between the population’s current foundations, and how widespread the Bitcoin Law intends to be.
There’s logically a learning curve both to use the technology, and shielding from scams, that is going to take a while to overcome, and we’ll hear all sorts of stories on user experience in this sense. It’s a bold/wild bet that we need to see how it eventually plays through.
This is actually a very fascinating statistics. In a way it means that many El Salvadorians might skip the central bank state entirely. Going forward it might mean that in El Salvador the legitimate alternative to cash trading is using Bitcoin instead of regular banks. It will be interesting to see how this plays out as well. I do believe there is a lot of "getting used to" money that does not exist in the physical world (like with using electronic bank cards for payment)
Statista’s data is roughly the same as World Bank’s data for 2019’s Internet penetration, but it seems that it has since picked traction at a fast pace, and by beginning of 2021, it reached 50,5% of the population (+14,7% in a year). I figure the build-up to the Bitcoin Law may increase these figures sharply – we’ll see: https://datareportal.com/reports/digital-2021-el-salvador
Going over the full stats, it’s interesting to see that, for El Salvador:
30,4% has an account with a bank institution.
5,7% has a credit card.
3,5% has a mobile money account.
Besides the degree of internet penetration, managing some kind of e-money is not that wide spread. Both will likely rise now substantially, albeit there being a delay between the population’s current foundations, and how widespread the Bitcoin Law intends to be.
There’s logically a learning curve both to use the technology, and shielding from scams, that is going to take a while to overcome, and we’ll hear all sorts of stories on user experience in this sense. It’s a bold/wild bet that we need to see how it eventually plays through.
Going over the full stats, it’s interesting to see that, for El Salvador:
30,4% has an account with a bank institution.
5,7% has a credit card.
3,5% has a mobile money account.
Besides the degree of internet penetration, managing some kind of e-money is not that wide spread. Both will likely rise now substantially, albeit there being a delay between the population’s current foundations, and how widespread the Bitcoin Law intends to be.
There’s logically a learning curve both to use the technology, and shielding from scams, that is going to take a while to overcome, and we’ll hear all sorts of stories on user experience in this sense. It’s a bold/wild bet that we need to see how it eventually plays through.
it is up to the particular country to make bitcoin a legal tender. because each country has its own laws to protect the legal medium of exchange that has been in use for a long time. so to make bitcoin a legal medium of exchange, of course, it takes a lot of approval from the government itself. I think that if bitcoin is used as a legal medium of exchange and replaces fiat money, it is very risky for inflation to occur in a country. because bitcoin often has ups and downs against market prices.
As of now the main use for bitcoin with ties to being a bona fide currency is as an auxiliary payment method for when cash and digital payments thru fiat just wouldn't cut it. It makes sense to doubt bitcoin's viability right now considering the majority of the planet still has no idea of what a bitcoin is and how to acquire one. But as time goes by and as more and more places gain access to the internet, this will easily be upturned and would even hasten the adoption process for bitcoin.
bitcoin being a legal tender I think it will harm the country itself, especially if it is a developed country, where the currency of one country will look useless because in terms of value it is far away, it takes 47K usdt to have 1 BTC, so it can be said that bitcoin is not suitable if used as a means of payment
This is if a country takes a drastic turn and decides to use bitcoin over their own currency in a whim, which is hardly ever going to happen to any country as long as their leader is of course someone with half a brain and enough comprehension that adoption is a gradual process. AFAIK El Salvador's move is alright and should not cause the country any issues in terms of currency usage as they will still allow fiat operations within their territory. 
Making a currency a legal tender doesn't necessarily means that the citizens HAVE to use it, it is merely a currency that the country recognizes and endorses. Fiat would probably still be a more dominant currency in use, and governments wouldn't give up their fiat for that. The problem isn't with how the citizens manage their financials but it is about how the volatility affects the user dis-proportionally. As for the point about transaction finality, it is hardly a case to be concerned about; you are responsible for your own funds and no one has to babysit them.
But again, any country recognizing it as a legal tender has an ulterior motive. That is to generate positive PR and distract others from the issues that they're facing. It is hardly a point to argue about.
But again, any country recognizing it as a legal tender has an ulterior motive. That is to generate positive PR and distract others from the issues that they're facing. It is hardly a point to argue about.
bitcoin being a legal tender I think it will harm the country itself, especially if it is a developed country, where the currency of one country will look useless because in terms of value it is far away, it takes 47K usdt to have 1 BTC, so it can be said that bitcoin is not suitable if used as a means of payment
Is bitcoin suitable as a legal tender, in my personal opinion, it is not suitable if we make bitcoin a legal tender, because only countries with weak currencies will allow the use of bit coins as a substitute for legal payments. And when citizens change their means of payment, their sovereignty will be lost and the currency will be weaker. With the exception of countries producing prohibited objects, they definitely want to make transactions using this bit coin
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