Topic: Which country would be the first to eliminate fiat and convert to crypto fully? - page 3. (Read 3747 times)

I think this will be a difficult task to do. Check it, looking at the differences in both currencies - bitcoin has so many process before you can have access to it or acquire which is anchored on internet and technology, computers,literacy etc but fiat is just to labour and you are paid. So, I think they could just operate side by side. Optional

I totally agree with you , Even though roughly 40 percent of citizens have access to traditional banking services, the future of these digital currencies is most bright in what we call “3rd world countries” such as Kenya and Zimbabwe .
Developing countries suffer from the poor banking infrastructures and arduous accessibility of its services, someone familiar with internet usage and who know about Bitcoin will certainly prefer it over any traditional banking system. Furthermore 3rd world  countries are enduring rampant inflation and therefore it makes people want to use other currencies and try to convert it to their local ones , or even completely replace them .

You could also ask us the following question: "which government would be the first to give up their control?". I don't really expect any government to do that because if they do they can't collect taxes and they are totally placed out of the economy. But if I would have to name a country it would probably be one with hyperinflation right now.

I expect Russia because the people there use cryptocurrency more than paper currency

The problem with Venezuela is that it has a big number of people I think for bitcoin to be adopted by a nation the nation needs to be small a few hundred thousand people at most, and that has high standards of living, because bitcoin is not going to be as easy to understand to someone that has never had access to technology, however such a country probably does not need to adopt bitcoin in the first place.

Alright, so you expect a country with a failing economic conditions to fully adopt a cryptocurrency, let me breakdown how ludicrous that would be for you.

Firstly, countries with failing economic conditions are in these positions for reasons which are NOT caused by FIAT currency. Reasons for these deteriorating economic conditions are mostly corruption, poor trade balances, lack of education and infrastructure and poor policy implementation.

To implement a crypto based economy, and abolish a FIAT currency, you would need to do the following. COVER all national debt, reinvest all national savings, whilst maintaining the dollar value so the working class is not impacted. Restructure all stabilization policy so hyper-inflation/hyper-deflation does not occur, restructure all taxes so the government can operate, find a way to tax transactions, find a way to implement a currency that can transact in seconds not hours.

The above is a VERY SMALL portion of the steps that would be needed. In reality, billions of dollars and years of work would be required, all of which a failing economy does not have.

At the same time, the idea that FIAT currency is going to be left behind is anything but logical. THERE IS NO BENEFIT, HOLDING A COIN DOES NOT MAKE YOU RICH. If everyone in whatever poor country you think is going to adopt this coin purchased Bitcoin two weeks prior, and the news of China came out, you've just essentially ruined the livelihoods of every paycheck to paycheck family in that time as they've lost almost every bit of savings they had as the value dropped.

Prices of goods lag behind that of the currency, don't try and argue prices value will drop at the speed of the coin.

I love Bitcoin Talk but these daily threads and the drones supporting them really trash this economics section of the forums. 

The first country to eliminate fiat and convert to crypto fully would be one which has a failed economic system such as Venezuela, where people are looking for and need help desperately, Bitcoin and crypto could be what they need. Just imagine if they turn to crypto and in a few decades everyone there became rich? It is definitely possible!

Yeah there will be no country that will be totally shift to crypto and will make their country as a country focused country. Not all the citizens for each country are techie or good in adoption of technology. There are people that will be subject to this upgrade because they doesn't like any digital money and fiat will be forgotten for real. It's also a very risky thing for that country if they'll shift to fully focused in crypto.

China seems to be going on the opposite direction, with the banning of icos and their closer look to exchanges, it seems they are preparing the field for an outright ban on bitcoin and any cryptocurrency, I’m sorry for the Chinese citizens since any country that closes its doors to new technologies are left behind and they do not receive the benefits of it, that happened to china once and it seems that is going to happen again.

Whether there will be trade of a crypto currency will gain mass character, then I think that financial institutions and all the more the government will do everything to tax every merchant. It's a matter of time and I think that this will soon take up. And of course if the crypto currency is legalized at full rate.

No dumb country would do such thing and I'm really sure of that.Its impossible to replace local fiat itself by crypto knowing  that local fiat signifies or symbolizes a country regarding on its economy and its power.Theres no place for crypto to replace such thing and also government wont really allow that and thinking off that crypto isn't legally regulated on most countries it would really be hard to trade on.

It seems to me that in reality every country that will have the desire to work with the crypto currency will itself try to create its national national crypto currency. But in order to be confident in the future, Balance feat and crypto-currencies will still be preserved, that is, preserving both.

The first one in remove fiat currencies is probably going to be Japan, it is only going to be possible if their governemnt doesn't regalute cryptos like china did. But i dont think it would be a nice idea to replace fiat currency and paper money, i wouldn't like that, and a good part of the population would not like it too, just because maybe some of them will not be confortable with digital money..

At this moment that will be a bad idea, bitcoin is great but there are still many things that need to be resolved before a country is going to adopt bitcoin as their national currency, the two most important are will the lighting network be activated anytime soon? And the second is if there is going to be another fork in November? There may be more but those two are the most important issues.

Agreed! Bitcoins are there for everyone, anyone who is willing to work hard to change his future in a better way can work with bitcoins. There is no doubt in this fact that bitcoins are not countless and they are not owned by one single person or a state. No state can do this at all because bitcoins are for international use.

China may not eliminate fiat but there is a possibility of China legalising bitcoin in the near future or maybe they are just trying to give preference to their own cryptos ,and trying to eliminate the scammers involved in the society as well. I dont see any other country making any move against crypto currency ,so its hard to say which country would even think about eliminating fiat because I dont see a reason why any country would eliminate their own currency.

You never know, we may not be ready yet, but if at some point bitcoin becomes as fast as fiat then I do not see a reason why that could not happen, governments of the world mismanage their economies all the time, so if a country enters in a very serious economic crisis I will not be surprised if their citizens opted to adopt bitcoin instead of rely once again on their government.

That’s true up to some extent. I don’t think so managing bitcoins will be an issue but bitcoins are limited in number and there are not properties of any single person or a state. So it does not add up if some country really makes them her national currency. National currency criteria are really different.

This is something that I agree, we cannot expect that bitcoin is accepted in a country with millions of people, we need a test subject in order to see if bitcoin is going to work on a large scale, and a country with a small population seems like the best bet, so in my opinion a small country like isolated in an island will be the perfect place, however before that happens I think the issues with the fees needs to be resolved or no country is ever going to adopt bitcoin.

I think, only a few countries in Europe could replace fiat, where IT infrastructure is built up in any regions of country.