Quote from: EL MOHA on October 21, 2024, 09:00:46 PM

Quote from: Smartprofit on October 21, 2024, 05:30:02 PM

It is technically impossible to make Bitcoin the main means of payment in a country with a population of over 1 billion people. As far as I remember, the Bitcoin architecture allows for no more than 400,000 transactions per day. This limitation simply does not allow Bitcoin to be made an official means of payment in China or India.

In addition, what about runes and ordinals, which can unexpectedly increase transaction fees not even several times, but by orders of magnitude?

China and India are interested in protecting their national currencies, and they are also planning to introduce CBDC.

Bitcoin may become an integral part of the gold and foreign exchange reserves of these countries, but it is unlikely to become an official means of payment in India and China (in my opinion, this is an unlikely event).

Using bitcoin as a legal tender doesn’t mean it will be the main means of payment because this two countries can never have anything other than their own currency as such it will be used as an alternative currency to their traditional currency. So even if they legalize it today that simply doesn’t translate to its usage by the citizens, the over 1 billion citizen won’t be making daily transactions on bitcoin like you put it out, as there are going to be those who will but even use it, those that will use it will actually limit its usage to transactions that favours them in terms of fees to be paid like cross boarder transactions.

Its impact is simple any adoption growth leads to demand and in turn demand leads to increase in price. So onboarding close 3 billion people is definitely a bullish news that will pump the market

You are right, governments accepting bitcoin as a currency does not mean they will get rid of their national currencies, both can coexist. But the question is why should they accept a currency they do not control?

Legalizing a decentralized currency would not benefit the government and would even harm the economy. Since it is difficult for the government to control and balance the economy, I think that is why so far not many countries have legalized bitcoin as a currency.

Honestly, I know people really want and expect bitcoin to be legalized as a currency because people will be free to use it. But if we put ourselves in the shoes of the government, we will see that there is no benefit in using bitcoin as a currency. Governments need to protect their interests, so I don't think bitcoin has a chance of becoming a legal currency in many countries or the world.