El Salvador hopes to becomes the world’s first country to adopt bitcoin as legal tender

Discussion in 'Crypto Assets' started by johnarb, Jun 5, 2021.

  1. Cuddles

    Cuddles

     
    #111     Jun 30, 2021
    johnarb and Sprout like this.
  2. Pekelo

    Pekelo

    Who wouldn't want Colon dollars?

     
    #112     Jul 17, 2021
  3. mlawson71

    mlawson71

    This guy seems shadier and shadier with each passing day.
     
    #113     Jul 19, 2021
    ITM_Latino likes this.
  4. Pekelo

    Pekelo

     
    #114     Aug 2, 2021
    mlawson71 likes this.
  5. mlawson71

    mlawson71

    I really question whether they'd go through with it, there's a lot of pushback.
     
    #115     Aug 3, 2021
  6. virtusa

    virtusa

    This is what happens when leaders (who have no clue about economics) of high inflation countries want to adopt BTC as national currency:

    venezuela.jpg

    For the BTC fans: the red zone is the additional loss of buying power versus protecting thru USD. Roughly 35% loss in less than two months. That's over 10 years of inflation. During these two months these Venezolans had to buy necessary food, drinks, water, gas and electricity at continuous higher prices. They have no money to just wait a few months or even years till BTC recovers (if it recovers).
     
    Last edited: Jan 9, 2022
    #116     Jan 9, 2022
    maxinger likes this.
  7. His advisor for the bond issuing and other large scale debt structuring is the same one who worked for the Chavez regime, and also from a great corruption scandal in Paraguay. So you can do your math.
     
    Last edited: Jan 9, 2022
    #117     Jan 9, 2022
    virtusa and mlawson71 like this.
  8. mlawson71

    mlawson71

    I had no idea about that. It certainly does not look good. :(
     
    #118     Jan 9, 2022
  9. Sig

    Sig

    So it turns out that in practice it costs an El Salvadorian 4X as much to repatriate funds using the Bitcoin as it did using existing means. Oh, and El Salvador's sovereign debt has dropped from being worth $.75 on the dollar to $.36 since this whole Bitcoin idiocy was announced (https://futurism.com/el-salvador-bitcoin-economy and https://fortune.com/2022/01/19/el-salvador-bitcoin-economy-distressed-debt/). And that's before we talk about the plight of the brave initial adopters who agreed to be paid in BTC back in Nov and now can buy 40% less with that paycheck than their peers who stayed with dollars. That experience is sure to drive future adoption!

    Who could have guessed at any of this? Oh, yeah, it is almost exactly what many of us on this thread and others predicted over and over. @Daal, @Cuddles, the fan bois who couldn't handle anyone critiquing their precious crypto and blocked me....where are you all at guys? I know one place you aren't, in El Salvador actually having to live with the consequences of what you advocated for.
     
    #119     Jan 21, 2022
    mlawson71, Specterx and maxinger like this.
  10. maxinger

    maxinger


    That is the problem if the politicians don't have trading experiences.
    They probably assume BTC will go from 1 to 2 to 3 to 4 to 5 to ... digits.

    They failed to consider what if BTC drops from 5 digits to 4 digits to ...
     
    Last edited: Jan 21, 2022
    #120     Jan 21, 2022