[2021-06-05] El Salvador to make Bitcoin Legal Tender

[aoluain]

Its a small step from a small country!
Amid all the FUD flying around for the past number of weeks we cannot lose sight
of the fact that there is more good news than bad in relation to Bitcoin, even if
its small!

President of El Salvador Says He’s Submitting Bill to Make Bitcoin Legal Tender

Source

Zap’s Jack Mallers announced the news at the Bitcoin 2021 conference in Miami. He said his company is working with Bukele to implement a plan.

The bill must still be reviewed by the country’s legislative assembly. But with the populist Bukele’s upstart political party in firm control of that body, approval seemed all but assured Saturday afternoon.

[Carlton Banks]

SMALL, WEAK GOV PERMITS ANTI-GOV MONEY

yeah, big story

[LeGaulois]

@Carlton Banks

I'm not sure I understood your message.

Did you want to say that given the size of the country and its economy such news is insignificant?
Why is that?

Even if this is true it is a good start. It shows that it is quite possible and could serve as an example to others. The country could serve as a 'laboratory' for this kind of experimentation. We could see a snowball effect afterward

With all the shit E. Musk has been saying recently, such news isn't bad. (I admit: it has zero results on the Bitcoin's market lol)

[Carlton Banks]

@Carlton Banks

I'm not sure I understood your message.

Did you want to say that given the size of the country and its economy such news is insignificant?

yes

Even if this is true it is a good start. It shows that it is quite possible and could serve as an example to others. The country could serve as a 'laboratory' for this kind of experimentation. We could see a snowball effect afterward

With all the shit E. Musk has been saying recently, such news isn't bad. (I admit: it has zero results on the Bitcoin's market lol)

I don't recognize politicians, businessmen or countries as relevant or authoritative determiners of markets, and if bitcoin works the way it was designed, such people/concepts moving their mouths would not have any effect

[aoluain]

I suppose its an example of a poor country struggling to progress and looking at Bitcoin
and hoping it can make a difference.

Hopefully for the poorer in El Salvador it will make a difference in some way.

In the grand scheme of things it will have little impact on Bitcoin.

[Carlton Banks]

Hopefully for the poorer in El Salvador it will make a difference in some way.

In the grand scheme of things it will have little impact on Bitcoin.

I suspect that most El Salvadoreans who already use Bitcoin will continue, and many will continue not to.

There is a risk that by politicizing the issue, the US government will become interested, one way or another. Central America has been heavily manipulated by the US military/intelligence for 100+ years, and their European counterparts (i.e. partners in crime) have no doubt played a role or two also.

If the ES president hadn't made this announcement, the userbase could have grown there without so much fanfare. After all, Bitcoin was doing fine in El Salvador without anyone trying to make their face part of that success.

not a bad description of how politics works: persuade normal people that a picture of a face (with very white teeth) will make their life work out ok.

[Argoo]

The significance of such an event should not be overestimated. Venezuelan President Maduro has also tried to boost his country's economy by using bitcoin as a means of payment. They even began to pay pensions to old women in bitcoins. We do not see any particular result yet. Inflation continues to break records there.
First of all, El Salvador needs to think about introducing a national currency in order to raise the economy. Bitcoin can only help if it walks simultaneously with the national currency, which will support all economic calculations.
In any case, this will be another experience of introducing cryptocurrency into government.

[Vishnu.Reang]

The significance of such an event should not be overestimated. Venezuelan President Maduro has also tried to boost his country's economy by using bitcoin as a means of payment. They even began to pay pensions to old women in bitcoins. We do not see any particular result yet. Inflation continues to break records there.
First of all, El Salvador needs to think about introducing a national currency in order to raise the economy. Bitcoin can only help if it walks simultaneously with the national currency, which will support all economic calculations.
In any case, this will be another experience of introducing cryptocurrency into government.

It is a very significant occurrence and no one is overestimating its significance. For cryptocurrency users, it is like a ground breaking event. For the first time, Bitcoin has gained a status that is equal to the fiat currency. To be honest, I was not expecting Bitcoin to become legal tender anywhere in the next 5 years. This was like a bolt from the blue. Getting the opening is always difficult. But since we have one now, I expect the next phase to be relatively easy. A number of countries are likely to follow El Salvador in making Bitcoin the legal tender.

[Karartma1]

Hopefully for the poorer in El Salvador it will make a difference in some way.

In the grand scheme of things it will have little impact on Bitcoin.

I suspect that most El Salvadoreans who already use Bitcoin will continue, and many will continue not to.

There is a risk that by politicizing the issue, the US government will become interested, one way or another. Central America has been heavily manipulated by the US military/intelligence for 100+ years, and their European counterparts (i.e. partners in crime) have no doubt played a role or two also.

If the ES president hadn't made this announcement, the userbase could have grown there without so much fanfare. After all, Bitcoin was doing fine in El Salvador without anyone trying to make their face part of that success.

not a bad description of how politics works: persuade normal people that a picture of a face (with very white teeth) will make their life work out ok.

In fact I'm quite worried regarding the geopolitical implications of such an act since that could be considered like a sort of act of war by the US in case many other LATAM countries would start doing exactly the same. Everthing's politics no matter what and bitcoin's a (geo)political tool.

[Carlton Banks]

could be considered like a sort of act of war by the US in case many other LATAM countries would start doing exactly the same

apparently, other South American governments are considering just that. The best the US can do is not react, then slowly & quietly launch subtle coups d'etats against them, that would be entirely their style. Making too much noise about it in the media might backfire altogether.

it's kind of amusing timing really, I imagine there are a few US/European billionaires wondering "just when you need a Trump as president, along comes Biden instead". Democrat presidents typically have a difficult job; come up with ways of exploiting the 3rd world without the US public noticing, lol

[bryant.coleman]

could be considered like a sort of act of war by the US in case many other LATAM countries would start doing exactly the same

apparently, other South American governments are considering just that. The best the US can do is not react, then slowly & quietly launch subtle coups d'etats against them, that would be entirely their style. Making too much noise about it in the media might backfire altogether.

it's kind of amusing timing really, I imagine there are a few US/European billionaires wondering "just when you need a Trump as president, along comes Biden instead". Democrat presidents typically have a difficult job; come up with ways of exploiting the 3rd world without the US public noticing, lol

I am afraid that the era of Americans overthrowing any Latin American regime that they don't like is over. Recently, it is not turning out well for them. They attempted a regime change in Venezuela, and failed in that. And then again attempted another in Bolivia, and failed miserably there as well. And now I won't be surprised if they turn their attention towards El Salvador. I am more worried about proxy interference. With millions of Salvadorans working in the United States, the Biden regime (if they want), can choke the Salvadoran economy.

[dansus021]

maybe this good news after china FUD but i also hear that el savador creating 0 emission to mine bitcoin, energy become hot topic when we say bitcoin since you know elon musk XD. Here is the news : https://www.reuters.com/technology/el-savador-exploring-volcanic-bitcoin-mining-bukele-says-2021-06-09/ Money grow on volcanos

and maybe el savador will be crypto heaven after dubai

[Easteregg69]

Volcano power.

Ha! That one stuck!

[bbc.reporter]

@Carlton Banks. I understand the skepticism, however, El Salvador’s acceptance of bitcoin as a substitute for the dollar might be practical. El Salvador does not have their own currency. It has adopted American dollars as their currency and so they are dependent on the monetary and fiscal policies of America. To slowly break away from this, adopting bitcoin might be easier than issuing their own currency. They might not gain real monetary sovereignty, however, it is much better than only being directly under the influence of America.

What other countries presently uses American dollars as their currency? They should follow El Salvador. This is significant and this might only be the beginning of bitcoin as a political movement. The CIA can topple all those regimes that would adopt bitcoin, however, can they topple all of them?

Also, did Japan accept bitcoin as legal tender already?

[Carlton Banks]

What other countries presently uses American dollars as their currency? They should follow El Salvador. This is significant and this might only be the beginning of bitcoin as a political movement. The CIA can topple all those regimes that would adopt bitcoin, however, can they topple all of them?

yes, they can topple all of them (and already did throughout the 20^th century)


they can topple the people too, but that's much more expensive (and obvious) than toppling their rival gangsters


so that's why I focus on completely ignoring what the government gangsters are saying. normal people can do it without them, and more effectively

[aoluain]

The government of El Salvador could have gone with a government controlled currency,
instead they went with something which essentially is controlled by everyone, they have
done their citizens a favour, thats something commendable and ground breaking.

Things are changing in El Salvador and this BTC move will have an effect on the rest of the world

For decades, El Salvador, a nation plagued by official corruption and deadly violence, had been (mis)governed by the leftist Farabundo Marti National Liberation Front (FMLN) and rightist Nationalist Republican Alliance (ARENA) relics of the country’s Cold War-era civil war. Fed-up voters found hope in 2019 in the person of 37-year-old Nayib Bukele, a former advertising exec turned mayor of San Salvador. His baseball caps, leather jackets, and savvy use of social media set him apart from the increasingly hated political establishment.

https://time.com/6046941/el-salvador-nayib-bukele-crisis/

[Carlton Banks]

37-year-old Nayib Bukele, a former advertising exec turned mayor of San Salvador. His baseball caps, leather jackets, and savvy use of social media set him apart from the increasingly hated political establishment.

see, this is what I mean really

would it surprise anyone if, given the above, a bunch of people who know Nayib Bukele personally say he's a bit of a manipulative prick? Oh here comes Jesus on a motorbike, that's what we need to run this town!

[DooMAD]

Also, did Japan accept bitcoin as legal tender already?

Getting a bit off topic, but they granted it status as a legal payment method.  Legal tender is a step further.  You can pay your taxes in legal tender.  As far as I'm aware, you can't do that with Bitcoin in Japan.

[cr1776]

The significance of such an event should not be overestimated. Venezuelan President Maduro has also tried to boost his country's economy by using bitcoin as a means of payment. They even began to pay pensions to old women in bitcoins. We do not see any particular result yet. Inflation continues to break records there.
First of all, El Salvador needs to think about introducing a national currency in order to raise the economy. Bitcoin can only help if it walks simultaneously with the national currency, which will support all economic calculations.
In any case, this will be another experience of introducing cryptocurrency into government.

Maduro was advocating the state backed petro.  Anyone who believed that a socialist/communist/fascist, statist authoritarian would create a crypto that wasn't under their control was naive to the point of being room temp IQ.  I haven't seen news stating he would be willing to use bitcoin, and won't believe it until I see it. Statists don't want money that is outside their control.

As far as a national currency for El Salvador, that is the last thing they need. Bitcoin is independent so that whenever the statists try to retake power, they won't be able to corrupt it.  Looting politicians need stay out of the business of creating money, many of the problems in the world are caused by corrupt, dishonest politicians (redundant) corrupting money. They like to use their power to steal from one group to buy the votes of another, while looting everyone annually with the annual inflation tax. What ES needs is hard, incorruptible money and they have the option with bitcoin.

[bbc.reporter]

What other countries presently uses American dollars as their currency? They should follow El Salvador. This is significant and this might only be the beginning of bitcoin as a political movement. The CIA can topple all those regimes that would adopt bitcoin, however, can they topple all of them?

yes, they can topple all of them (and already did throughout the 20^th century)


they can topple the people too, but that's much more expensive (and obvious) than toppling their rival gangsters


so that's why I focus on completely ignoring what the government gangsters are saying. normal people can do it without them, and more effectively

Agreed. I am as skeptical as you, however, the significance of this new law is what you have just told us. It will help spread use of bitcoin then it would open the people’s eyes that they do not need laws to enforce the use of bitcoin and the cryptospace. It will be seen as a revolutionary movement and a type of political tool. This might be very significant.