Bitcoin Is A Better Option Than Fiat Money?

[Daryl_Dixon]

As most of you know in this forum, bitcoin has more advantages over fiat money. fiat money is under the control of governments. With fiat money, we do not have 100% control over our assets. But Bitcoin is not like that and we can freely trade it anywhere in the world without the control of third parties. However, Mexico's third wealthiest man ^{(Ricardo Salinas Pliego)} agrees with us and said in a recent interview:

"Government intervention has always been a factor in setting the gold standard," Salinas explained. "And fiat enables infinite financing."

So as you can see, Ricardo Salinas Pliego has come to the conclusion that bitcoin is a better alternative to fiat money.

Will governments and important people reach this conclusion this year? _{(I think these events could cause BTC to cross the 36,000 channel)}

Source: https://www.btimesonline.com/articles/153553/20220204/ricardo-salinas-pliego-mexican-billionaire-bitcoin-fiat.htm

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[hugeblack]

Cryptocurrencies have proven to governments that printing and distributing money is not a smart behavior and therefore will encourage them to launch central digital money^[1] under the control of the central bank, then the transfer costs will be cheaper, the possibility of tracking currencies easier, the possibility of freezing or printing money easier.

Some governments started digital money such as PBOC announced that a digital renminbi would be released after years of preparation.^[2]

Bitcoin will be for international and interstate trade but I don't expect it to be recognized as an official currency.

[1] https://en.wikipedia.org/wiki/Digital_currency
[2] https://www.nytimes.com/2016/10/12/business/dealbook/central-banks-consider-bitcoins-technology-if-not-bitcoin.html

[Jawhead999]

With fiat money, we do not have 100% control over our assets. But Bitcoin is not like that and we can freely trade it anywhere in the world without the control of third parties.

Actually it's true, but most of people hold their Bitcoin on centralized exchanges... then it's no longer 100% control over your coins. Lack of knowledge and doesn't understand what is custodial or non custodial, they thought their asset is 100% safe.

Their will be huge variations in the price of fiat. Even take U.S dollars, their is some high variations as compared to INR. So it's better to inverse on a crypto for the longer period. Keep on addition investment at all the dump in the trusted crypto. When the market up, you can hold for next bull run. It will not same dump for a next dump. Only the profit will get from the nature of curve chat.

Not disagreeing your opinion, but if Bitcoin is treated as investment asset and not a currency, which you used for daily expenses... it wouldn't make Bitcoin will completely replacing Fiat in the future. I'd say Bitcoin isn't a better option than Fiat and Fiat isn't worse than Bitcoin because both of them work on different purposes.

[Poker Player]

So as you can see, Ricardo Salinas Pliego has come to the conclusion that bitcoin is a better alternative to fiat money.

I happened to be listening to an interview with him on Youtube two days ago. Pretty smart guy.

The question as you put it is very broad and may give rise to different interpretations.

If we are talking about storing value, Bitcoin is much better than fiat, as fiat constantly depreciates (it is basically a scam, and is something Salinas insisted on in the interview I saw), while Bitcoin is almost perfect for storing and transferring value.

If we are talking about replacing fiat for day-to-day payments, there are a number of question marks that remain to be seen. If it were to replace all the global transactions that are done with fiat today, all at once, it couldn't because of a scalability issue. It is assumed that little by little improvements will be implemented and with secon layers or other solutions it will be possible to cover more and more payments.

[avikz]

Will governments and important people reach this conclusion this year?

Lol! never! Governments will never accept that cryptocurrency is better than fiat money! Because it is not! Bitcoin can create a parallel economy and can become the greatest investment of all time, but it can't become better "medium of exchange" than fiat currency for various reasons. So there's no way the governments and important people will accept that. Bitcoin has survived as an alternative to the mainstream currency, it has shown enormous growth, investors from all around the world had invested money into it including some prominent personalities, but bitcoin can't replace fiat. What El-Salvador has done is an exception and exception can't become rule. Bitcoin can't just scale up to support the need of 7 billion people. Sorry!

[SFR10]

But Bitcoin is not like that and we can freely trade it anywhere in the world without the control of third parties.

That's true, but it's worth noting that in "some countries, governments do their best to take away our freedom.

Will governments and important people reach this conclusion this year?

They've already reached that conclusion, but most of them are not willing to publicly admit to something that works against everything that they've been trying to achieve in the past decade.

_{(I think these events could cause BTC to cross the 36,000 channel)}

Even though the latter part already happened, I don't think there's a correlation between the two.

[Ryker1]

Well in my own opinion is, --I will conclude that bitcoin is better than a fiat currency which I agree with Ricardo Salinas.
^{[ https://bitcoinmagazine.com/culture/mexican-billionaire-says-bitcoin-is-a-better-option-than-fiat-money ]}
Compared to fiat currency, bitcoin is decentralized which makes it harder to manipulate by the government, unlike fiat which can be easily manipulated by central banks around the world. Bitcoin has brought numerous advantages over fiat money, including the fact that transferring value over a network is much more difficult to ban because crypto does not involve an intermediary who could be subpoenaed by the government and bitcoin holders preserving their wealth for a long term in a sovereign manner is very possible. That is why for me, bitcoin is better than fiat currency.

[marilynmanson21]

I don't think the government will ever accept cryptocurrency, because the bitcoin system is parallel and cannot be a means of exchange like fiat,
it is true that “Gold is difficult to transport and difficult to store,” and “The price of gold has also been manipulated easily by central banks around the world. Bitcoin comes as a new asset that is harder to manipulate, it is a better asset because you can sell it more easily and you can basically transport and store it for free.”

but the convenience of bitcoin still can't replace fiat in my opinion

[fiulpro]

See we need fiat ofcourse, we cannot go without fiat, the stability, the money, the society, the government and the people they all depend on fiat. I do think that the government have to understand that wishing for absolute dominance is not the way. Bitcoins is giving people more freedom. Some of them are holding their assets in the bank and are scared that the economy will collapse,the situation is not getting better plus due to the pandemic and recent Russian jokes on fighting the whole NATO which might be the start on world war 3. What do people do? What do they have to loose? They need an asset that will be free from the governments plight. I think in a way bitcoins is better but fiat is necessity as well.

[ayuskabob]

It's the best protection from fiat money issues there is,so maybe yes its better,but i think they go hand in hand,there were many cases across history were peoples funds in official governments banks were all confiscated ! due to financial crisis and stuff like that,not just confiscation due to criminal activity like some think,that's the best in it,protection against confiscation.

[hd49728]

Bitcoin is better than fiat because
- It is decentralized
- It allows people to make peer to peer trades
- It has only 21 million in total supply which is unchangeable
However if you extrapolate from Bitcoin to cryptocurrency, it can be inaccurate. Crypto market has inflation with altcoins that in turn have inflationary supply as well.

If you see inflationary specification from fiat, you should choose Bitcoin, not altcoins.

[D ltr]

it is good for investing but not for transacting, because the price is not fixed so we as owners can feel a loss if bitcoin is in a period of correction,
and I'm not sure all countries accept the existence of bitcoin cs,  into their government, because fiat is easy to regulate even though it always results in inflation

[hatshepsut93]

Bitcoin's scalability, even with Lightning Network, is a major theoretical obstacle for allowing Bitcoin to replace fiat. We witness fees spike to $40 when there's a lot of trading activity, now imagine if every person in the world with a bank account tried to open an LN channel.

Second problem is volatility - it makes Bitcoin impractical for use as medium of exchange, it's too risky. No merchant would want to receive currency that can randomly lose 10% of its value - it means they would need to instantly convert BTC to fiat, which means using proxies and pay fees.

There are also minor problems like high computer literacy requirements (being your own bank is a huge responsibility). Or lack of adoption - it's inconvenient to look for merchants that accept Bitcoin when you can spend less time and effort to pay with fiat.

Bitcoin is good as a store of value, it's also good as a currency when you know exactly what you're doing to avoid mistakes, but it's unsuitable for regular use by the general population, so it's wrong to say that Bitcoin is a better currency.

[lombok]

As most of you know in this forum, bitcoin has more advantages over fiat money. fiat money is under the control of governments. With fiat money, we do not have 100% control over our assets. But Bitcoin is not like that and we can freely trade it anywhere in the world without the control of third parties. However, Mexico's third wealthiest man ^{(Ricardo Salinas Pliego)} agrees with us and said in a recent interview:

"Government intervention has always been a factor in setting the gold standard," Salinas explained. "And fiat enables infinite financing."

So as you can see, Ricardo Salinas Pliego has come to the conclusion that bitcoin is a better alternative to fiat money.

Will governments and important people reach this conclusion this year? _{(I think these events could cause BTC to cross the 36,000 channel)}

Bitcoin let it be like a bitcoin and keep it growing.

And let Fiat be a fiat even if it will turn into CBDC or whatever is

I am sure that every time there is a change in decade, all aspects will continue to follow it, with the emergence of an idea or breakthrough.

it is good for investing but not for transacting, because the price is not fixed so we as owners can feel a loss if bitcoin is in a period of correction,
and I'm not sure all countries accept the existence of bitcoin cs,  into their government, because fiat is easy to regulate even though it always results in inflation

I really appreciate and agree with your comments.
As said by D ltr, Bitcoin is suitable as an investment instrument not as a transaction because of the problem of price volatility which tends to be a large, also the transaction fees that be expensive (for small transaction activities if it is related to daily needs). For small transactions related to daily needs when compared to Bitcoin as a transaction I would prefer to use Fiat money.

[amishmanish]

Bitcoin is money that the government cannot issue, inflate or deflate based on their policy considerations or needs. Fiat money itself is dependent a lot on where you live. If you live in a well-managed scandinavian country, I doubt that one needs to be concerned about these differences. Yet, there are 180+ other countries, a lot of which do not have governments responsibly managing the plight of their people. Access to financing can be a big boost to improve situation of those people.

Bitcoin can enable that as it is a truly international currency living on a decentralized network of miners. This is the reason its better than fiat money and a lot of smart people have bet their money and reputation on it. It is better than fiat but far from being a perfect replacement for it.

[blatchcorn]

Bitcoin can enable that as it is a truly international currency living on a decentralized network of miners. This is the reason its better than fiat money and a lot of smart people have bet their money and reputation on it. It is better than fiat but far from being a perfect replacement for it.

You concluded it very well that we need fiat for our daily living despite all odds. We must not excited about bitcoin since its not a fundamental technology and not very much are aware of it worldwide. Above all behavior of government towards bitcoin is very strict as they are in no mood of accepting it, something understandable from governments point of view.

[Sanitough]

Bitcoin can enable that as it is a truly international currency living on a decentralized network of miners. This is the reason its better than fiat money and a lot of smart people have bet their money and reputation on it. It is better than fiat but far from being a perfect replacement for it.

You concluded it very well that we need fiat for our daily living despite all odds. We must not excited about bitcoin since its not a fundamental technology and not very much are aware of it worldwide. Above all behavior of government towards bitcoin is very strict as they are in no mood of accepting it, something understandable from governments point of view.

Yes, bitcoin could be a better option than fiat but what else can we do if its not also accepted as a legal currency? The government will always stick with fiat and no matter how high the inflation that fiat brings, the government won't settle from a decentralized currency knowing they have less control over it. However, wise investors see the advantage of bitcoin but it will always remain an asset or an investment unless the government decides to accept bitcoin even as an option to fiat, not literally replacing fiat because that will never happen.

[freedomgo]

As most of you know in this forum, bitcoin has more advantages over fiat money. fiat money is under the control of governments. With fiat money, we do not have 100% control over our assets. But Bitcoin is not like that and we can freely trade it anywhere in the world without the control of third parties. However, Mexico's third wealthiest man ^{(Ricardo Salinas Pliego)} agrees with us and said in a recent interview:

"Government intervention has always been a factor in setting the gold standard," Salinas explained. "And fiat enables infinite financing."

So as you can see, Ricardo Salinas Pliego has come to the conclusion that bitcoin is a better alternative to fiat money.

Will governments and important people reach this conclusion this year? _{(I think these events could cause BTC to cross the 36,000 channel)}

Bitcoin let it be like a bitcoin and keep it growing.

And let Fiat be a fiat even if it will turn into CBDC or whatever is

I am sure that every time there is a change in decade, all aspects will continue to follow it, with the emergence of an idea or breakthrough.

it is good for investing but not for transacting, because the price is not fixed so we as owners can feel a loss if bitcoin is in a period of correction,
and I'm not sure all countries accept the existence of bitcoin cs,  into their government, because fiat is easy to regulate even though it always results in inflation

I really appreciate and agree with your comments.
As said by D ltr, Bitcoin is suitable as an investment instrument not as a transaction because of the problem of price volatility which tends to be a large, also the transaction fees that be expensive (for small transaction activities if it is related to daily needs). For small transactions related to daily needs when compared to Bitcoin as a transaction I would prefer to use Fiat money.

Bitcoin will be a better currency than fiat, but as long as volatility exists, the people will always doubt about it knowing it can't even give a fixed value. As long as the government is not seeing its real worth and value, bitcoin will forever be an investment. And i think there's no need to rush in making bitcoin as a currency because once it will be declared as a legal tender, its volatility will be slowly controlled, which will only mean that investors and traders will find less chances to make huge profits in bitcoin.

[ropyu1978]

I dare not say bitcoin is better than fiat currency, it is true that bitcoin is not controlled by any party and cannot be controlled by the government even state banks cannot regulate bitcoin, we are also free to invest wherever we want with bitcoin, but.the problem is bitcoin is still banned in many countries, even in the country I live in, we can't use bitcoin as a medium of exchange, in the country I live all shopping must use fiat, we can't go anywhere without holding fiat money...

[Fatunad]

Bitcoin can enable that as it is a truly international currency living on a decentralized network of miners. This is the reason its better than fiat money and a lot of smart people have bet their money and reputation on it. It is better than fiat but far from being a perfect replacement for it.

You concluded it very well that we need fiat for our daily living despite all odds. We must not excited about bitcoin since its not a fundamental technology and not very much are aware of it worldwide. Above all behavior of government towards bitcoin is very strict as they are in no mood of accepting it, something understandable from governments point of view.

Yes, bitcoin could be a better option than fiat but what else can we do if its not also accepted as a legal currency? The government will always stick with fiat and no matter how high the inflation that fiat brings, the government won't settle from a decentralized currency knowing they have less control over it. However, wise investors see the advantage of bitcoin but it will always remain an asset or an investment unless the government decides to accept bitcoin even as an option to fiat, not literally replacing fiat because that will never happen.

It was never been created on the first place to replace fiat and it was just an alternative thing.It is just people or the community are being too optimistic on what they are seeing now on which they do
already presume that it should really replace fiat but to consider out that decentralized thing couldnt make things a lot more better.We do still need that centralization to make things
in order but to think about those flaws and abuse then lets just accept that fact that it was always been a part of that one.Why would be minding about both things if you could
really deal up with both too?