Quote from: ItsEzMkay on Today at 09:02:40 AM

Quote from: Agbe on December 10, 2021, 09:21:03 PM

According to Economic Confidential blog " IMF says, Crypto Assets May Displace Local Currencies in Developing Countries". Source: Economic Confidential, Facebook page..

Bitcoin is taking over the internet for online transaction, therefore, most of the local currencies in the developing Nations are affected.. because developing Nations are not inclined in the e-currency transaction while the new generation youths use the e-currency for transactions. That making the local currency weak.

Can Bitcoin really weaken the Local Currencies in the Developing Nations?

I don't think it would weaken them. I believe it would usurp them, in a good way though even that word means not. And that would probably be a net positive for that state. They wouldn't have as high as inflation rate, and could save money on transfer fees. Be borderless. Be decentralized. The list goes on and on. El Salvador will tell us a lot, and I believe it will be positive for sure.

I believe that very weak local economies, in places like El Salvador, it is quite obvious that even without crypto they were not doing amazing. Imagine this; they are investing few hundred millions of dollars into bitcoin because that is what they can afford as the whole government, whereas Tesla invested 1.5+ billion dollars just themselves. Any nation that has a smaller marketcap as government funding than Tesla should be considered a small country.

I am not saying that they can't, like for example my nation is not rich at all but they can invest more than 1.5 billion dollars, in fact we make 100 billion dollars loss every year, what is 1.5 more? But they won't, I am not talking about the ones that won't, I am talking about the ones that can't even if they wanted to. Those nations have horrible finances without crypto anyway, and crypto could only be salvation for them.