Bitcoin Forum

would the Government of the Nations adopt BTC, a decentralized form of digital currency?

If they do, dont you think we should raise eyebrows and be suspicious of what they could be up to?

how would it affect the crypto market and individual traders?

Adopt in what sense? Is it making it a legal tender or the new dollar.
If you talking about government skeptical about bitcoin then the highest i believe they can do is set laws to regulate the market to protect its citizens.
Except they find a way to control up to 51% of the blockchain, there's nothing to fear.
The government across the world are in possession of almost 1.2% of BTC total supply.
Even when they banned Btc
Citizens in the country still secretly operate with it

El Savador government has Already adopted BTC
The first of many others to come.

What should we be suspicious of? The real question is why aren’t governments making Bitcoin legal tender in their states. So far only El Salvador and Central African Republic are the only countries where Bitcoin is officially used as a currency. I believe that if the rest of the world adopts Bitcoin, it will hasten the growth of bitcoin. I can’t think of a negative outcome should governments adopt Bitcoin

It's not that easy, from the list of countries that has adopted Bitcoin as a legal tender you would notice that they are developing (also called underdeveloped) countries their currency and economy are struggling or has low value, Bitcoin is like a new hope to their citizens and crypto-currency would be a better way to have a more effective currency for their citizens, but in the developed world their is the battle of Ego, control, power, the government wants for authority and they can do that with the Fiat system but it becomes more difficult with crypto-currency.

I think that if Bitcoin were fully adopted globally as the world reserve currency society would definitely look a whole lot different. I think what I honestly would hope for is that we could fully adopt straight bitcoin in stores and online for all goods and services, but also have a cash option for convenience purposes because lets face it cash is still king. That is honeslty a world though that is completely at odds ends with eachother and not quite realistic. Cashless society in the future is what it looks like.

Not many government till date have shown full concern on whether they will have a full adoption of bitcoin soon. Those that are not against it are on neutral stand to see what happens of the countries that will first adopt the cryptocurrency as a legal tender.

The government won’t just make bitcoin a legal tender without them haven something beneficial from that. Thinking of that, we need to raise eyebrows and be suspicious of their verdict if they allow bitcoin as legal tender.

The crypto market could be in a state of chaos for a while as regulations which will be coming from the government will either make it strict or friendly to them. On what the basis of the regulations will be is what will determine how the market traders will react to that change.


No one is thinking of a negative outcome if the government adopts the use of bitcoin as legal tender globally but what happens after that is the hidden reality that people are yet to know and will be very observant to look out for if there’s a step to take action on that. The governments that are not following the same part as El Salvador and Central Africa Republic are just scared and don’t want to fall bait of anything.

The developing nations are more careful of that since the developed nations they are looking up to haven’t taken such steps for the adoption too. Bitcoin adoption continues to rise despite all this, one day government will either allow it or put some regulations on them on its use, I think that’s what will likely happen in the end of all this.

It could be but certainly a long process prior to that. And let's say if it will happen in the future, raising eyebrows and being suspicious might not be entertained anymore. The Government of the Nations is probably setting a plan for it, but it's still uncertain if that plan will be put into action. And if ever it gains positive feedback, then it will create a more positive market because of the sudden mainstream and adoption.

However for now, I still see only a very slim chance for it to turn into reality.

As much as I'd really love for this to happen, it won't. That's why I wouldn't even want to imagine it since no government would be interested to make it a reality as they'd won't have control of the somewhat reserve currency to print it brrrrr at will. But if that were to be the case, I can say for a fact that the days of bitcoin being heavily volatile would be over. How can a reserve currency do —40%  or +60% net in 12 calendar months? It would heavily affect the reserves. This isn't what we want Bitcoin.

I think the context to adoption needs to be redefined because, I don’t see how a government would ever adopt Bitcoin and dump its traditional fiat currency which isn’t just a media for exchange but also serves as a national symbol.

Adoption is possible in years but, it would be in the context of recognition and legalization rather than some complete adoption for an overall currency.

I don’t see any conspiracy theory to that on the part of the government and adoption. The power would always be with the people as that’s the nature of Bitcoin. A consensus of the people and it would continue to be so. Ain’t no way the government would be taking that from the people as that would completely undermine the idea of decentralized finance.

What would be observed is a boom yo traders as, we would have more people pouring into a scarce commodity.

Adoption of Bitcoin is different from using it as a reserve. It's no longer news that some countries have started legalizing Bitcoin, but the amount the government owns is so low due to risk considerations. While they have most of their foreign reserves in the USD.

I don't think this is necessary as long as they make the purchase public. And of course, they would have seen the light in Bitcoin before they go on such a journey. However, making Bitcoin a substantial reserve is too risky and I don't think any country would do that. They might own a small amount of it, but not totally depend on it as the nation's reserve.

The adoption of Bitcoin by governments means more demand and appreciation of the market price as this will add to the market capitalization. There is no way the price of Bitcoin will not reach the rooftop if this happens. However, that is not possible as Bitcoin is not enough (max. of 21 million circulating supply) to go round and the risk of depending on it is too high for a nation.

Some nations are already inclined to adopt Bitcoin, some maybe take BTC officially as legal tender while other nations accept it as mode of payment.  So the question to the question is yes, government will adopt Bitcoin if they find it useful or beneficial for the country's development.


No, I think it is normal for governments to accept Bitcoin and other technology once they understood it or implemented regulation that can prevent exploits and negative stuffs.


Just look at the picture, in a free market, if there is more demand with a fix supply, the price of the item will definitely surge.  So first hand, the price of Bitcoin will surely incerease.  Traders will have a great time raking profit and individual traders will have a more secure asset to trade because Bitcoin liquidity will strengthen.  Aside from that with approval of the government, many people will be encouraged to engage in Bitcoin market thus making it more livelier than before.

Don't dream of the government adapting Bitcoin instead of their fiat currency. Its unrealistic to adapt decentralised Bitcoin by a centralised government. They might allow you to use it; it's not a Bitcoin adaptation, actually. But yes, El Salvador has been adapting Bitcoin. Even a few more governments will adapt Bitcoin this way, but Bitcoin won't be a reserve currency anyway. Because Bitcoin is highly volatile, that will always affect the value of the total reserve. And Bitcoin is always a digital currency, whether the government accepts it or not.

Some counties have already adopted Bitcoin but they're countries that aren't strong financially, I have said this before that no country that are financially strong would want to give up control that they get from their local fiats to adopt a decentralized currency that they have no control over, in the future things like this might be happening more often but for the meantime many nations will be discrediting the cryptocurrency industry just to make the fiats currency strong but it won't work.

People can't be deceived forever, Bitcoin is better than the current fiats system so if Bitcoin was to be adopted as a global reserve currency, things would be different than what it is but that won't be happening soon. The elite nations that are enjoying the flaws of the current currency system won't want that to change, they would want this to continue until it's no longer beneficiary to them.

It's going to be a long process before Bitcoin can be declared a globally reserved currency but for it to be accepted as a alternative to fiats, that's just a matter of time. The more the fiat currency keep losing value and importance in the society, the quest for a better currency will be ignited and Bitcoin would come to the rescue.

Adoption can be done by the government by them relaxing bans on bitcoin or going further to add it to some of the countries legal tender which is the most hard part. The decentralized system which bitcoin is actually seems to pose threat to bitcoin censorship and they will never want to let that go.

This will affect bitcoin adoption rate as it will grow in large number but the question will be whether the maximum supply of 21 million bitcoin be ok for everyone.

Many countries remain wary of digital currencies, viewing them as potential tools for funding criminal activities within their borders. This skepticism is a major reason why they resist accepting Bitcoin as legal tender. Achieving global adoption of Bitcoin seems unlikely, as some nations will persistently oppose the idea, indifferent to the potential economic benefits it could offer if embraced.

Back to op.If Bitcoin becomes a global reserve currency, its value is likely to rise due to the limited supply of only 21 million coins. This scarcity may make Bitcoin more valuable than gold. In the future, owning Bitcoin could be a luxury mainly for the wealthy, given its potentially high price. You should also acknowledge that widespread acceptance of Bitcoin as a global reserve currency faces too many challenges. Achieving this would necessitate significant changes in the global financial system, and predicting the exact outcomes might be impossible.

with the increasing adoption of cryptocurrency and also the increasing price of bitcoin, it is not impossible that in the future bitcoin will become a hedge for the value of the country's fiat currency as a substitute for gold, but all this will be possible if the circulation of bitcoin remains at 21 million and does not increase or decrease.  For now, large-scale adoption will cause bitcoin fees to increase and it will still be a tough job for anyone who actively uses bitcoin, especially for transactions.

If Bitcoin were to be adopted as a global reserve currency, it would have a profound impact on the global economy. For one, it would likely cause a significant increase in the price of Bitcoin, as more and more people and institutions would need to hold the cryptocurrency in order to conduct international trade. This could lead to a "flight to safety" effect, where people and institutions around the world start buying up Bitcoin as a hedge against inflation and other economic risks. This could cause even more price appreciation, as well as an increase in demand for Bitcoin mining and other supporting services....

global reserve currency could lead to the decentralization of the global financial system. This would mean that governments and central banks would no longer have the ability to manipulate the value of their currencies or engage in quantitative easing and other monetary policy measures. Instead, the value of Bitcoin would be determined by the market, rather than by central authorities. This could lead to greater transparency and stability in the global financial system, as well as increased freedom for individuals and businesses. However, it could also lead to instability and volatility, as the value of Bitcoin is notoriously difficult to predict.

For me, the major benefit just in case it happens is the decentralization of economic power, by this, centralized platforms like banks or governments will be lessened as Bitcoin is already here that no one can control.
Another thing is the regulations, we all know how Bitcoin is really strict and hot in the eyes of regulators or governments, so expect more issues will come from governments.

Actually some of them are already accepting Bitcoin and make it regulated through the online wallets from their country. Some of them are really into it and probably investing on buying it, it still depends on the international government if other countries will accept it too, but so far most of them doesn't know what will be the effect of it in their community. For me, as a trader I wouldn't be alarmed about it as if they regulate a trading site it means that it's safer than those who are not registered.

Bitcoin will stay be decentralized no matter what so they can only regulate the wallets or companies that accepts Bitcoin (they can't really do anything directly to Bitcoin). It's either they adopt it and regulate it or ban people from using it (which will not stop them from using it, as it is decentralized).

And that's it. I don't see the point of thinking about what would happen if what will never happen were to happen.

It was a question that made more sense in the early years, until perhaps a couple of cycles ago, but today it is clear that Bitcoin is not going to be used for small payments and that governments are tolerating it to the extent that they can control it. Add to that the number of people who use it by buying it on CEX as an investment, and not as a currency, and we will see that there is no way it will become a global reserve currency.

Bitcoin has good adoption growth and will be accepted legally in more countries. Some small nations will make Bitcoin legal tender like El Salvador and Central African Republic but to become a global reserve currency, it is impossible or if it happens, I won't expect I will see it in near future.

[1] https://coinmarketcap.com/legal-tender-countries/

From Gold standard to USD. standard, it takes a long time and to achieve Bitcoin standard globally at governmental scale, it will need many years.

The bullish case for Bitcoin (https://vijayboyapati.medium.com/the-bullish-case-for-bitcoin-6ecc8bdecc1).

The Bitcoin standard: The Decentralized Alternative to Central Banking (https://www.amazon.com/Bitcoin-Standard-Decentralized-Alternative-Central/dp/1119473861). It's 312 pages and you can download it from this link https://drive.google.com/file/d/1A2S8PK4JiYSekQZQs7kEw-BkSOc0j_ei/view?usp=sharing

It won't be lessened, they've got fractional reserve banking, they can just buy bitcoin using cheques and papers that says they paid this amount, and they'll be able to buy billions of dollars worth of bitcoin because most of them are tied to the government so they'll definitely going to get the biggest benefit of them all and they'll do some marketing to have you sell your bitcoin to them, that's not the truth yet but I believe that banks will be doing anything at their disposal to buy bitcoin if it ever becomes a global reserve currency.

Bitcoin adoption takes many forms, legalizing its use for the people, trade relations with other countries, etc. So which one should be suspected? Maybe, if they have certain regulations that are unfair, but I can't imagine that and draw a conclusion before there are case examples.

BlackRock will acquire every mining companies, makes them able to restrict or ban the transactions they don't like.

Everyone will be forced to use their centralized exchanges and make sure to verify our accounts, if not we can't own Bitcoin.

Everyone will be forced to report all of their earnings from centralized exchanges because Bitcoin is taxed.

Say goodbye to privacy, there's no more pseudonymous because the government knows who's control x address or x address controlled by whom.

Yeah, that doesn't sound really good. But I'm not so sure that it would be possible around the globe, perhaps only in the biggest countries.

it seems almost impossible that if that happens it will definitely have an impact on major currencies. that will make the value of the country's currency definitely worthless. This is because bitcoin is anti-inflation, where anti-inflation is really needed by many people to overcome the global asset crisis. I believe with bitcoin as a reserve currency it will replace the country's original currency, I don't agree I only agree with bitcoin as a commodity asset.

No, governments around the world will not adopt Bitcoin because it is decentralized and they cannot control it, and anything that the government cannot manage is usually rejected; in fact, they will hunt for methods to oppose it.

There will be no suspicion if they use Bitcoin because blockchain technology will make their job and financial expenditures more transparent. However, corrupt regimes that seek to launder money would never accept Bitcoin because blockchain will expose them.


Market effect in what form?

If there is global adoption, Bitcoin will gain more popularity and it will keep having value.
Even without government adoption, Bitcoin will keep growing and will one day be a global general digital currency.

BTC as a currency is not the actual goal of creation of btc. BTC has some limitations due to which it will be difficult for any government to use btc as a currency. Government has no control over it, limited supply and some factors are some issue government are not ready to accept it. The only way is to gives free hand to citizens to use btc as an asset which is I think much better than currency.


I don't understand why suspicious? even if it happen there will ne no change in the decentralization behavior of btc. Crypto market and trader will be only affected if btc decentralization destroyed which couldn't be happen so please Calm down,no need to rise your eyebrows  :D

Bitcoin becoming a global reserve currency would change how we view money. Adopting BTC, a symbol of decentralised finance, would undermine government monetary policy sovereignty. This could be a strategy to stay ahead in the changing financial world. Are they embracing the future or trying to co-opt a decentralised revolution? Bitcoin adoption by nations might diversify and strengthen the global financial system. It imagines a world where currency is a global asset unconstrained by geopolitics.

Crypto markets may enter a new age with this change. Bitcoin would become less speculative and more practical. Individual traders should evolve to comprehend cryptocurrencies' economic ramifications. We must adapt and innovate in this new financial world order as a community.

Possible or may not, BTC is now slowly being accepted by the economy and people would like the same thought they can support the use of Bitcoin but they cannot replace their currency because it a decentralized the government don't want to have a coin that they can't fully be authorized to handle, also another thing is there's a limit only of the number of supply and sooner or later the price of this coin might arise due to people keep holding and there's a lot of pair related into it so volatile is on board, no one wants to have their money getting surge dump by this instead having a dollar or any of their currency.

Slowly government will allow with many business and companies have good viewed or accepted bitcoin as payment currency in the future regarding how costumer expected easily payment using bitcoin. Government looking bad viewed when accepting bitcoin as legal payment transaction will give bad impact with their local currency leaves by the citizen and prefer keep use bitcoin how easily make transaction without get limit sending fund.

Bitcoin have adopted by many companies and business model right now but government still not allowed as payment transaction, but if have revolution with new government actually get chance with bitcoin become legal payment currency in the future. Right now some countries still dominance with parliament or president not support with bitcoin, but every government change each 5 years get potential if new president have positive viewed with bitcoin in the future and legal it as payment currency.

They are not looking forward to innovate their financial system since they are in focus to make their fiat great.

Maybe they see certain issue like it will create a conflict of interest on their national currency if they adopt bitcoin that's why maybe this adoption didn't happen for now. I guess it will take long years before government will adopt this knowing that they are slow taking some innovative steps especially to those third world countries.

Lets just say if they make it legal and make bitcoin as their legal tender if this is what you asked then provably for limited supply what bitcoin had it the price of this coin will pump.

The most that may happen is that countries add Bitcoin to the central reserve bank of those countries or that it is used to settle payments for international trade as an alternative to the dollar or exchanging local currencies, but it will inevitably not be the No. 1 monetary reserve currency, but it could be in a position similar to gold or a safe haven currency and it all depends on the future development of Bitcoin.

We are involved with Bitcoin so many thoughts about Bitcoin come into our imagination without our own knowledge but not everything can actually happen in reality. Before Bitcoin can become a global reserve currency, people around the world must first accept Bitcoin. We know that Bitcoin is not approved in all countries, so Bitcoin must be approved in all countries before becoming a global reserve currency. The dreams we have with Bitcoin will take a long time to come true and it is very unlikely that Bitcoin will be the global reserve currency. However, we expect that the popularity of Bitcoin will gradually increase in different countries and gradually different countries will accept Bitcoin in their countries.

A centralized entity adopting a decentralized system? Not going to happen.
For Bitcoin to be a global reserve currency, it first has to be accepted as legal tender and no country owns Bitcoin so no country can make it a "global reserve currency". Different countries have to accept it individually first.

I don't need Bitcoin to be legal tender, I just need the government not to be against it so people who want to use it can use it freely without any limitations. If it's not legal tender but people are free to accept it if they want and the government is not against it then I don't see a problem.

OP, this is almost impossible considering the fact that this currency is decentralized, just to think of it, how many countries in the world are ready to adopt Bitcoin, before you talk about reserve, there should be interest, and i know that we understand what interest is all about, the government assume that Bitcoin is an enemy of individual country currency, so making it reserve will amount to more depreciation of existing currencies and at so doing bitcoin will become more valuable more than its  presently, we just have to be sincere this process will be very difficult to come in place because of the circumstances surrounding the acceptance of Bitcoin as a legal tender worldwide.

I think you are trying to say that if BTC becomes a global reserve currency means managed by governments then it might be manipulated or maybe go near to a centralized one. If that's what you are asking then let me clear a few points BTC is still being manipulated by many market makers and the second thought about centralization, then it can not be centralized anytime. Because it is running on different nodes placed at different places in the world.

If some government adopts it, then the price of BTC will shoot up like it did when El Salvador adopted it. and now I am hearing Argentina has also adopted BTC but has not made it a legal tender yet. Besides the decentralization factor, BTC is not capable of handling millions of transactions made in a single day, I have said many times before it can't even process the transactions of El Salvador's country if each individual made a single transaction in one day (as there is around 7 million population of it). So, it is not possible for the nations to adopt it as legal tender but they can make its trading and usage legal and it is in the benefit of the crypto market. But with rules and authorities, there come requirements which it had to follow.

Bitcoin or any cryptocurrency or even currency will never be used as a reserve currency because no country would want their reserves to lose or gain value now and then as that will make things unstable and unpredictable. What if a country holds 1 million Bitcoins as a reserve and the price of Bitcoin drops significantly? We know that can happen because Bitcoin is volatile and it moves in a cycle which means that it goes up and also comes down after some time.

So, even if Bitcoin becomes an accepted currency all over the world, it's never going to be used as a reserve. People can use it to store their wealth, it can even be used to pay for goods and services, but as a country reserve, it can affect the economy of a country which isn't a government would want or accept.

If Bitcoin were adopted as a global reserve currency, it would present both opportunities and challenges. The potential benefits include technological advancements, increased financial inclusion, and currency competition. However, concerns include volatility, regulatory issues, and environmental impact. The transition would require careful coordination, and the outcome could reshape global financial dynamics, impacting traditional currencies and influencing geopolitical power.

If governments start jumping on the Bitcoin wagon, it could mean crypto is going mainstream. On one hand, it might make things more legit and regulated, but on the flip side, it could also mean more government control and snooping into transactions. The impact on the crypto market and regular traders would depend on what rules they throw into the mix. It could boost Bitcoin's value and make trading more accepted, or it might lead to some annoying restrictions. We should keep an eye on the news because how governments handle crypto could shake things up big time.

As of now, there is still no big interest from many countries to adopt Bitcoin as a reserve currency just like what they are doing with the dollar or even gold. Now, is there something that can hasten for countries to include Bitcoin on their portfolio? I am not so sure but if the US Dollar can collapse there is that big possibility for a good number of countries to focus their attention on Bitcoin...though this is just my speculation.

If BTC were to be adopted as a global reserve currency, I think it would mean many of the world, if not all countries in the world has made it a legal tender or nearing the possibility. It would also mean that the dollar would no longer be in charge, perhaps it would crash and become of lesser value compared to BTC with individuals or countries opting for use of other currencies like BTC and Yen for both local and international trade exchange.
It would also mean that the awareness and idea of BTC has reached a greater percentage of the world population.

It's starting to happen. Not that Bitcoin is totally replacing fiat, but at least Bitcoin is now a legal tender in a couple of countries. Some others might follow. But the influx will probably happen once the current monetary joke will be made obvious and the paradigm shifts. Who knows, I'm hoping the next kind of money will be detached from the powers of the state and totally free from abuses. Bitcoin is a good candidate. This might happen in the next several decades, though, or not at all.

You don't have to worry about Bitcoin. Governments can't kill it. And the wider the adoption grows, the harder it is to even try shutting down.