So I have been wondering what if a Government somewhere in the world wants to legalize bitcoin or any other crypto for that matter. How would it work.
First of all the government will be trying to legalize a means of exchange that it neither controls the demand, supply and creation. It can't even be used as a means of effecting economic change like other currencies can be used by controlling money supply and interest rates.
And if we are equating bitcoin to the possession of assets like gold or diamond. They cant even control bitcoin mining, like they issue licenses to mine gold or diamond
So is bitcoin being a legal tender even possible and how would it work.
Bitcoin is not meant to be governed. Bitcoin is freedom. Your concept of legalization is quite limited. Thinking that legalization will affect Bitcoin is an ignorant premise by itself. You don't even know the definition of legal tender.
Definition of legal tender according to investopedia - Legal tender is any official medium of payment recognized by law that can be used to extinguish a public or private debt, or meet a financial obligation.
My thoughts on bitcoin was based on the above. you can give your own definition. maybe we should work with it. From responses so far. Only Japan fits such definition.