Post
Topic
Board Economics
Re: If the government supports bitcoin instead of the existing currency.
by
uneng
on 01/06/2019, 03:13:23 UTC
Neither bitcoin nor paper money has any real value, but notes have national credit support, and what if bitcoin also gets national credit? The government will lose its macro-control policy but it can also effectively eliminate inflation, two relative ratios. Is that a good result? Of course, I know that the government is very unlikely to support bitcoin, but who knows?
this is just my imagination, the economy in the country will be chaotic If the government supports bitcoin instead of the existing currency, but it will be stable if the government in the area issues their own country cryptocurrency.
No government will replace its national currency with bitcoins.As you know it is very risky.You are trading 1 bitcoin and then risk,but what do you lose in the end?Correctly what the part of.And what will the government lose if suddenly bitcoin collapses?The government will lose everything and eventually there will be chaos.
but there is one example of a country that has changed their currency with bitcoin, namely Venezuela. but indeed this country is in trouble with acute inflation, so that their currencies become worthless. hence the government replaces it with bitcoin, as well as for economic recovery
Venezuela government will never replace their bolívar with bitcoin. Their government is totally centralized, exactly the opposite of bitcoin purpose.
Anyway, a high volatile currency isn't the solution for a troubled economy, they need a smart economical plan to stabilize their economy first.