Back in 2021, El Salvador took the first step into making Bitcoin legal tender. It defied the establishment by proving BTC can be used as an alternative to Fiat. Set ourselves forward 4 years later, and now El Salvador is regretting its decision. It made a deal with the IMF, in exchange of limiting its involvement with the world's beloved cryptocurrency. I guess all good things come to an end.
I wonder what could've been the culprit of Bitcoin's limited adoption within the country? Was it bad planning/execution? What if El Salvador rejected the IMF's demands? Would've it survived with Bitcoin as its sole currency? I mean, the government continues to buy BTC. At some point, it would've paid off its debt. That would've help turn it into a developed country in the long run.
What about other countries adopting BTC as legal tender? Is there still a possibility? Or is it "game over"?
Your input would be greatly appreciated. Thanks.
I wonder what could've been the culprit of Bitcoin's limited adoption within the country? Was it bad planning/execution? What if El Salvador rejected the IMF's demands? Would've it survived with Bitcoin as its sole currency? I mean, the government continues to buy BTC. At some point, it would've paid off its debt. That would've help turn it into a developed country in the long run.
What about other countries adopting BTC as legal tender? Is there still a possibility? Or is it "game over"?
Your input would be greatly appreciated. Thanks.
Nobody needs Bitcoin being adopted as a legal tender. Bitcoin is being perfectly fine as being adopted as a financial asset.
What the hell was Bukele expecting by turning BTC into a legal tender? The people in El Salvador buying groceries with Bitcoin?
Even the most hardcore Bitcoin supporters wouldn't waste their BTC on buying random stuff. BTC is for investments, fiat currencies are for purchases.
Countries like El Salvador shouldn't reject the IMF, because they need loans to repay their debts. I don't believe that El Salvador would be capable of paying off it's national debt just by buying more BTC and waiting for the Bitcoin price to hit the Moon.