Re: Imagine African countries using Bitcoin to pay salaries,
Paying salaries in Bitcoin, in a country where there is a high poverty rate and where the population needs to spend 90% of the salary directly, is useless. Most of the population cannot keep Bitcoin as an investment and therefore will not be able to benefit from price fluctuations, and the high Bitcoin fees may wipe out most of the salary.
With a fee of 47 sat/vB and assuming that the person will make an average of 3 transactions and that the transaction is 1 input 2 output, he will need about 21 US Dollars per month, while the average salary in Nigeria is around 30,000 NGN (69.17 US Dollars) according to https://www.timedoctor.com/blog/average-salary -in-nigeria/
We are talking approximately 1/3 of the salary in transaction fees
If there are social security or pension funds where workers' salaries are deducted and kept, then Bitcoin can contribute to mitigating the effects of inflation.
You have said it all. if I had merit,I would have also given to you about your analysis. Because bitcoin transaction fee is getting higher by the day and checking at the least salary someone could receive in such a country like Nigeria, you'll see that you would have almost lost your salary to Bitcoin fee. I doubt your 1/3. i think 4/5 because you'll almost sell your money to fee. Like in a sales of $40 you'll use $32fee for $8 Fiat sales.With a fee of 47 sat/vB and assuming that the person will make an average of 3 transactions and that the transaction is 1 input 2 output, he will need about 21 US Dollars per month, while the average salary in Nigeria is around 30,000 NGN (69.17 US Dollars) according to https://www.timedoctor.com/blog/average-salary -in-nigeria/
We are talking approximately 1/3 of the salary in transaction fees
If there are social security or pension funds where workers' salaries are deducted and kept, then Bitcoin can contribute to mitigating the effects of inflation.
Even the company that want to pay you, would loose more money than gaining. Emaging sending salary of $15 with fee of $32 you will see that such company will decide not to continue which is bankruptcy. Because most workers are no serious in there day to day activities and reaching the time of payment company will also like to pay them accordingly on how there work are. Most will receive higher while others lowoer bit plus or minus the company will lost %40 for a %60 salary.