Post
Topic
Board Bitcoin Discussion
Merits 6 from 2 users
Re: El Salvador official wallet app @chivowallet go offline
by
stompix
on 08/09/2021, 10:25:02 UTC
⭐ Merited by DdmrDdmr (4) ,vapourminer (2)
Probably millions of people from all around the world have planned to use this wallet, which probably was unexpected which lead to it being over sold.

Why would millions of users from other countries rush to use this wallet? There is no point in it without having a Salvador ID card.

I can't speak for El Salvador government but it seems to me that they don't want people to just receive the $30 and go away to forget about bitcoin altogether. They are trying to build the bitcoin economy and encourage people and merchants to start using bitcoin and the $30 acts as the free money to "try things out" instead of just being $30 free money.

Since a merchant can opt for instant conversion in USD once it receives a payment this is circle can be broken in just one purchase, and probably that's what's causing the outage right now, people trying to get their coins as fast as they can and spend it.

I think it is rather a security mechanism that unfortunately wasn't deployed successfully, I see no reason for them to allow this withdrawal outside the ecosystem without a purchase since it's airdrop money that was supposed to be used as testing the economy not just handing them free money.

Checking the tweet mentioned by SFR10, unfortunately indeed a rush product
https://twitter.com/MattAhlborg/status/1435307724774989829

Apart from the bugs mentioned, the one with the fee being subtracted which is a bit serious, I wonder what he meant by "on-chain are NOT being batched", how does this work on a custodial wallet?