Today we saw bitcoin hit an all time high of $23k while its traditional counterparts are suffering a decline in value. Historically, when someone desires financial stability, they naturally go for safe investment is, such as gold, stocks, real estate. But with the outbreak of the corona virus pandemic we have experienced a shift in global economy, countries are facing inflation. As a result many individuals are beginning to see Bitcoin as a safer investment than its counterparts. Countries are slowly adopting crypto as a means of payment. Will bitcoin eventually dominate the world economy and replace traditional currencies?
It should be recognized that countries do not accept cryptocurrency as a payment in the sense of making payments at the state and government level. International payments in cryptocurrency are not carried out and are unlikely to be carried out. Cryptocurrency is accepted and distributed among people, not among states and their bodies. States will use their central bank stablecoins rather than decentralized cryptocurrencies. Therefore, in cryptocurrencies there is no chance to replace the national currencies of states.