El salvadore and btc

[Voxo2222]

Instead of btc they would just started using stablecoins.
Btc is not and never will be suitable for payments.
Neither will be eth/ tron ltc.. they are just digital gold reserveres once the banks start more usdt adoption then surely they will need digital gold such us btc they will need it most.
Btc are just digital gold (and its backing up usdt) you cant just mint usdt...it will inflate like a current fiat money.
For paymemts always good stablecoins.

[DarkDays]

Well, it is a decision that goes beyond one single entity, in this case the whole government. It probably was made to make a point and to let everyone else know what they believe in digital cryptocurrency, and Bitcoin specifically. Who knows perhaps in 5 years from now everyone else will see that they made the best decision - it just takes time to see the impact of this decision.

Yh, stablecoins are one thing but in this case the country is enforcing a real economy via Bitcoin - that's something!!! Plus, this state of activity reduces the argument that everybody holds Bitcoin and never spends it.

In my view, I think what's important is the acceptance the country took towards Bitcoin, and will be glad to see similar acceptances else where over time.

[jackg]

Surely banks would seek to mint their own stable coins? They could then use those coins to make the price of btc more stable (if they wanted to) or just keep people locked in to using their services anyway and increasing their balance sheets.

USDT might, in itself, be a danger to financial institutions as it can be printed by the company that issues them and there's no limit on how many can be minted - what if supply doubles and it's badly managed.

[hatshepsut93]

Btc are just digital gold (and its backing up usdt) you cant just mint usdt

You are wrong on both cases. BTC is not backing USDT, it doesn't make any sense what you are saying, Tether is backed only by USD, and even then it's very questionable just how fully it is backed. Which leads to your second point, they absolutely can print USDT out of thin air, and maybe they were doing it for a long time.

At least with Bitcoin they have asset that is resistant to inflation and is not controlled by some centralized organization and not tied to a currency of a foreign government. Plus USD is already their official currency, what sense would it make to add USDT?

[Voxo2222]

Surely banks would seek to mint their own stable coins? They could then use those coins to make the price of btc more stable (if they wanted to) or just keep people locked in to using their services anyway and increasing their balance sheets.

USDT might, in itself, be a danger to financial institutions as it can be printed by the company that issues them and there's no limit on how many can be minted - what if supply doubles and it's badly managed.

Usdt are backed now with...
Eth solana tron  those are gold( digital gold) so value of usdt is safe.

[TravelMug]

Just weird though that suddenly we've seen threads about stablecoins > bitcoin now. LOL.

In any case, stablecoin run on fractional reserves. And one reason why the President of El Salvador is for remittances and then for those who are unbanked.

And there are a chance that a certain stablecoin might collapse as compare to bitcoin who is too big too fall now.

[Voxo2222]

Btc are just digital gold (and its backing up usdt) you cant just mint usdt

You are wrong on both cases. BTC is not backing USDT, it doesn't make any sense what you are saying, Tether is backed only by USD, and even then it's very questionable just how fully it is backed. Which leads to your second point, they absolutely can print USDT out of thin air, and maybe they were doing it for a long time.

At least with Bitcoin they have asset that is resistant to inflation and is not controlled by some centralized organization and not tied to a currency of a foreign government. Plus USD is already their official currency, what sense would it make to add USDT?

Just educate yourself more then come back.

Just weird though that suddenly we've seen threads about stablecoins > bitcoin now. LOL.

In any case, stablecoin run on fractional reserves. And one reason why the President of El Salvador is for remittances and then for those who are unbanked.

And there are a chance that a certain stablecoin might collapse as compare to bitcoin who is too big too fall now.

If stablecoins collapse its end of crypto.
 whos making those rumours lol about stablecoins.?
Its baseless fiction and nothing to do with real things.

[moderator's note: consecutive posts merged]

[Darker45]

1. Stable coins are fiat representations. Their value is dependent on fiat's value. Therefore, stable coins are still subject to the devaluation of fiat.

2. In El Zonte in El Salvador, Bitcoin has been used as payment since 2019. Bitcoin isn't just used as a form of payment, the economy itself is centered around Bitcoin. Goods and services are prices in Satoshis.

3. Banks will never adopt USDT as their default currency.

4. USDT is not backed by Bitcoin; it is backed by USD. Isn't it obvious?

5. Just like the fiat that it represents, USDT could be inflated ad infinitum.

[Voxo2222]

1. Stable coins are fiat representations. Their value is dependent on fiat's value. Therefore, stable coins are still subject to the devaluation of fiat.

2. In El Zonte in El Salvador, Bitcoin has been used as payment since 2019. Bitcoin isn't just used as a form of payment, the economy itself is centered around Bit[Suspicious link removed]ds and services are prices in Satoshis.

3. Banks will never adopt USDT as their default currency.

4. USDT is not backed by Bitcoin; it is backed by USD. Isn't it obvious?

5. Just like the fiat that it represents, USDT could be inflated ad infinitum.

Fiat not going to devalue if the full replacement is not there.
And stable coins adoption what will take the current fiat currency to the another level.

You cant back usd with usd ...ask anyone whos well informed about those kind of things you just said it wrong  to back up something you need scarcity asset.

Now read again please and tell me did you learn anything

[sunsilk]

Instead of btc they would just started using stablecoins.

What's done and chosen is the one chosen and being used by them as backed up by the state. They can also have stable coins in use if they want to.

Btc is not and never will be suitable for payments.

You sure about it that it's no suitable for payments? Well, go and check the fees for most bitcoin transactions and they're cheaper even if we're currently in the bull run. It's actually better than the last bull run of 2017 because fee this time is way cheaper.

Neither will be eth/ tron ltc.. they are just digital gold reserveres once the banks start more usdt adoption then surely they will need digital gold such us btc they will need it most.

It's a store of value and at the same time as a method of payment. The government of El Salvador is also holding bitcoin but they've just adopted it as a legal tender which means as an actual money.

Btc are just digital gold (and its backing up usdt) you cant just mint usdt...it will inflate like a current fiat money.
For paymemts always good stablecoins.

Pay your things with stable coins and let people pay bitcoin if they want to, save some and spend some.

[Voxo2222]

Instead of btc they would just started using stablecoins.

What's done and chosen is the one chosen and being used by them as backed up by the state. They can also have stable coins in use if they want to.

Btc is not and never will be suitable for payments.

You sure about it that it's no suitable for payments? Well, go and check the fees for most bitcoin transactions and they're cheaper even if we're currently in the bull run. It's actually better than the last bull run of 2017 because fee this time is way cheaper.

Neither will be eth/ tron ltc.. they are just digital gold reserveres once the banks start more usdt adoption then surely they will need digital gold such us btc they will need it most.

It's a store of value and at the same time as a method of payment. The government of El Salvador is also holding bitcoin but they've just adopted it as a legal tender which means as an actual money.

Btc are just digital gold (and its backing up usdt) you cant just mint usdt...it will inflate like a current fiat money.
For paymemts always good stablecoins.

Pay your things with stable coins and let people pay bitcoin if they want to, save some and spend some.

Yes it can be perfect store value.
Yes you can use it as payment method but its not perfect for this.

Btc in maximum scenario could be suitable only for those who do understood about btc good and regulary dealing with btc even using it as payement option.
If we talk about adoption and easy use case then im afraid usdt and other stablecoins do it better in this comparsion.


Finally some very pro member should add her/his point of view.

[Darker45]

Fiat not going to devalue if the full replacement is not there.

Fiat will devalue with or without replacement. Fiat's devaluation is according to design. Fiat is meant to devalue over time.
 

And stable coins adoption what will take the current fiat currency to the another level.

Have you heard of CBDCs? That might be enough to replace stable coins. That's fiat's another level. Stable coins are not issued by central banks and governments.

You cant back usd with usd ...ask anyone whos well informed about those kind of things you just said it wrong  to back up something you need scarcity asset.

I didn't say USD is backed by USD. I said USDT is backed by USD, or so it should be. But it seems, just like USD, much of USDT is backed by nothing but thin air.

[Voxo2222]

Fiat not going to devalue if the full replacement is not there.

Fiat will devalue with or without replacement. Fiat's devaluation is according to design. Fiat is meant to devalue over time.
 

And stable coins adoption what will take the current fiat currency to the another level.

Have you heard of CBDCs? That might be enough to replace stable coins. That's fiat's another level. Stable coins are not issued by central banks and governments.

You cant back usd with usd ...ask anyone whos well informed about those kind of things you just said it wrong  to back up something you need scarcity asset.

I didn't say USD is backed by USD. I said USDT is backed by USD, or so it should be. But it seems, just like USD, much of USDT is backed by nothing but thin air.

Cbdc are future usdt and paxos standard ....dont forget that they cant create cbdc out of thin air just.
And usdt not out of thin air its created by every moment capital flows in btc.

[worle1bm]

Instead of btc they would just started using stablecoins.
Btc is not and never will be suitable for payments.
Neither will be eth/ tron ltc.. they are just digital gold reserveres once the banks start more usdt adoption then surely they will need digital gold such us btc they will need it most.
Btc are just digital gold (and its backing up usdt) you cant just mint usdt...it will inflate like a current fiat money.
For paymemts always good stablecoins.

They have made best decision by implementing btc as legal tender and what's the fun of using pegged stable coins when they already have USD domination in the country before that? How come you can say that it's not suitable for making payments? You simply pay the amount in Bitcoin to the vendors through LN at whatever the rate is at that time.You are making no sense in your statement and it's their decision and they have considered everything.

[Chato1977]

Instead of btc they would just started using stablecoins.
Btc is not and never will be suitable for payments.
Neither will be eth/ tron ltc.. they are just digital gold reserveres once the banks start more usdt adoption then surely they will need digital gold such us btc they will need it most.
Btc are just digital gold (and its backing up usdt) you cant just mint usdt...it will inflate like a current fiat money.
For paymemts always good stablecoins.

It is not you to decide , are you a EL Salvadorian that against Bitcoin legalizing in that country? why you sounds like being so much affected by that government decision?
and besides if you look differ for what is the main reason why EL Salvador adopt bitcoin that is many of their people are working abroad and this is the simplest and best way to send Money.

[cabron]

We have heard it on the news, CBDC is about to come that all governments might just have their own, it sure would make them easy to add zeros to thier money supply.
Hard to see it will have any difference from what we have today.

The government will have to buy up all the cryptocurrencies including all the ones that are yet to come in that case. Because I don't see developers going to stop creating one after another.

[pooya87]

Instead of btc they would just started using stablecoins.

So far nobody (not just El Salvador) has been interested in shitcoins apart from pump and dumpers, that includes stablecoins.
Countries like El Salvador have only adopted bitcoin as legal tender and nothing else. This is unlikely to change.

Btc is not and never will be suitable for payments.

Bitcoin is, has been and will continue to be suitable for payments.

Neither will be eth/ tron ltc.. they are just digital gold reserveres

The shitcoins you named are neither currencies nor "gold reservers" they are more like what penny stocks are, some short term trading tools that gamblers choose to make more profit on the amount of bitcoin they have.

once the banks start more usdt adoption

Banksters may some day try to create a cryptocurrency of their own but they will never adopt USDT since they have no control over this centralized shitcoin, the company that runs bitfinex does.

Btc are just digital gold (and its backing up usdt)

Bitcoin is a currency and it has nothing to do with USDT.

you cant just mint usdt...it will inflate like a current fiat money.

YOU can't but the company that has full control over USDT can and has been minting however much they wanted to.

For paymemts always good stablecoins.

No they are not. For payments either bitcoin is good if you want decentralized currency or if you want centralized currency you use banks or something like PayPal.

[avikz]

Instead of btc they would just started using stablecoins.
Btc is not and never will be suitable for payments.
Neither will be eth/ tron ltc.. they are just digital gold reserveres once the banks start more usdt adoption then surely they will need digital gold such us btc they will need it most.
Btc are just digital gold (and its backing up usdt) you cant just mint usdt...it will inflate like a current fiat money.
For paymemts always good stablecoins.

I agree with you statement! Where regular payment is concerned, stablecoins are always better, faster and cheaper! But USDT has a reputation issue. They are claiming that their coins are backed by USD at 1:1 ratio but they have never tried to prove that neither thye have done any auditing.

So I am not sure why El-Salvador is opting for USDT. But I understand it's a decision taken by the government as bitcoin adoption didn't go as intended. So let's see how this pans out!

[mindrust]

you cant just mint usdt..

I can't maybe and you neither probably, but somebody somewhere is printing it like there is no tomorrow.

Instead of btc they would just started using stablecoins.

Stable coins still use their parent's blockchain though. So, when you use USDT, you use ETH.

Btc is not and never will be suitable for payments.

Probably true but we don't know what tomorrow is going to bring. Maybe taproot will fix things. I haven't looked into it.

[Reid]

Just weird though that suddenly we've seen threads about stablecoins > bitcoin now. LOL.

In any case, stablecoin run on fractional reserves. And one reason why the President of El Salvador is for remittances and then for those who are unbanked.

And there are a chance that a certain stablecoin might collapse as compare to bitcoin who is too big too fall now.

If stablecoins collapse its end of crypto.
 whos making those rumours lol about stablecoins.?
Its baseless fiction and nothing to do with real things.

Where are you reading your history? I am kind of curious and will try to understand it.
You know there are no stablecoins when Bitcoin started right? So, I don't pick up where you are getting the idea of "without stablecoins, crypto is dead".
Lots of altcoin came out and still no stablecoins. We even have the idea of "Bitcoin up, altcoin down" market before but there is nothing like, "Bitcoin up, stablecoins down".
Without stablecoins, we are just going back to the traditional way before they came. That's how it will be.