If Bitcoin was the currency of a country

[nullama]

☞If Bitcoin was the currency of a country then what will happen?☜

Cryptocurrency is known as the fastest transaction medium for people around the world. Bitcoin is most commonly known and used token in cryptocurrency. Suppose a country began to use Bitcoin instead of their currency. Then, what will happen?

The price of Bitcoin is unstable. Its price may increase or decrease. If a country accepts Bitcoin as their currency, then there will be an economic revolution in that country.

Bitcoin will be operated without the control of the central bank or government of that country. It is capable of preventing inflation. Because it is not possible to print any additional bitcoin. For this, the people of that country can do their transaction easily, transparently & faster and will have the potential to reduce corruption rates. However, when all transactions are completely dependent on online, it will be mandatory for all of the country to gain skills in this regard. 

Finally, if Bitcoin is the currency of a country, it will start a new economic age of that country. This will improve the economy of that country and some damage. So these positive and negative aspects of that country should be noticed equally.

There are already a few countries out there with fiat money that have incredible levels of inflation, like Venezuela, Turkey, Argentina, etc, people see price changes in goods and services almost in real time. I don't think that would be something new with Bitcoin, which is nowadays getting more and more stable anyway.

The interesting thing is that it changes the concept of money, basically with fiat wealthy people try to stay away as much as possible from having cash and instead buy assets with it, because they know the value of cash will go down in the future. With Bitcoin though, it is the opposite, the value will probably go up, like an asset, so people have the opportunity to receive money, and just save it, without having to buy an asset. Bitcoin is an asset in itself. That's revolutionary.

[betswift]

 ^ BTC is the ultimate store of value, and those who understand it now will get the most out of it in the long run.

No other coin would replace it in that regard, trust and core values-wise for sure.

[Smack That Ace]

We can learn from El Salvador, how they work and try. Then we can see the current condition of the results. I'm not saying it failed, but they are still working hard with new ideas. They are still quite difficult to use Bitcoin as payment.

If we dare to face reality and admit the truth, the use of bitcoin as a currency and its application in El Salvador have failed. BTC cannot help them improve their economy as expected, otherwise they would not need to borrow money from the IMF and have to comply with many harsh terms from the IMF.

The only benefit they get is from their bitcoin investment. That shows that using bitcoin as a currency does not solve any problems and does not bring as many benefits as many people think. Obviously, bitcoin is more suitable when used as an investment, a store of value.

[lionheart78]

We can learn from El Salvador, how they work and try. Then we can see the current condition of the results. I'm not saying it failed, but they are still working hard with new ideas. They are still quite difficult to use Bitcoin as payment.

If we dare to face reality and admit the truth, the use of bitcoin as a currency and its application in El Salvador have failed. BTC cannot help them improve their economy as expected, otherwise they would not need to borrow money from the IMF and have to comply with many harsh terms from the IMF.

Did El salvador sell already?  If they do and still borrow money from IMF then what you are saying is true but I have not heard that El Salvador had liquidated their BTC yet, this means the country had yet profited from their Bitcoin investment.  Let us wait and see if El Salvador is able to pay their debt once they decided to liquidate their Bitcoin holdings.

The only benefit they get is from their bitcoin investment. That shows that using bitcoin as a currency does not solve any problems and does not bring as many benefits as many people think. Obviously, bitcoin is more suitable when used as an investment, a store of value.

I think you missed the benefits if Bitcoin is used as currency, first, the company that want to take advantage of Bitcoin may invest in the country giving the county a boost both on taxes and job opportunities. 

[babo]

if bitcoin was a nation's currency
but it already has been!
certainly those who benefit are the citizens and not the state since it cannot print money at random
as some do, who print to finance wars


It's simple to understand, using bitcoin wars would become uneconomical..

[hero_the_bossman]

if bitcoin was a nation's currency
but it already has been!
certainly those who benefit are the citizens and not the state since it cannot print money at random
as some do, who print to finance wars

It's simple to understand, using bitcoin wars would become uneconomical..

BTC isn't suited to be such a currency full-on.

It's an alternative (as of now).

[Mastercon]

Cyber anarchist is the favourite subset of the bitcoin crowd outside of the speculative investors. Bitcoin is such an interesting spectrum of people in the space.You asked a Bitcoin server that question, what did you expect. Japan is Bitcoin friendly. If you were at a store or shop that accepted bitcoin as payment, would you pay with btc or prefer to lay low keep your anonymity and just pay with fiat. There is definitely enthusiasm for bitcoin there. The more I pay with fiat and just hoard bitcoin though, the more bitcoin just becomes a store of value. maybe medium of exchange is still in the far off future. All that tech comes from Bitcoin in the first place, and there is better privacy tech on Bitcoin.Bitcoin already does everything fedimint does. There is no purpose or reason for fedimint other than enabling the company that builds it. Just because someone tells you to pay taxes on bitcoin, doesnt mean you have to. Crypto see a world where every nation and continent accumulates bitcoin and encourages mining, except for the EU, which will be reduced to a third world civiltarian. Hope it doesn't come true. Bitcoin is proving to be a growing threat to banks in Europe. Exchanges are now requiring full recipient data for transactions , a clear move toward tighter surveillance. At the same time, they're laying the groundwork for a digital euro, signaling an effort to maintain control over the financial system. The shift is happening.

[HONDACD125]

if bitcoin was a nation's currency
but it already has been!
certainly those who benefit are the citizens and not the state since it cannot print money at random
as some do, who print to finance wars


It's simple to understand, using bitcoin wars would become uneconomical..

The state can benefit from it as well if they keep buying and reserving Bitcoins from the money they have in their treasury, and in the long run, they will make profit from that, but only if they hire people who can do that effectively which means that they should watch the market and charts, and buy when the market is down, and then sell when it's up. A state should have good money, so if they do that in billions of dollars, they will be making good money, and that might help their economy as well if it's done effectively.

One thing is certain that Bitcoin can't be the only currency available in a country, but it can be a legal tender like how it is in El Salvador. But on a second thought, it could be the only currency in a currently despite its volatile nature but then the prices of things will have to change every now and then based on the value of Bitcoin in the global market.

Imagine a car is worth $100,000, and the price of Bitcoin is at $100k too, so it costs 1 Bitcoin to buy that car. After a few days, the price of Bitcoin drops to $50k, now the car can only be bought with 2 Bitcoins.

[Chilwell]

There are already a few countries out there with fiat money that have incredible levels of inflation, like Venezuela, Turkey, Argentina, etc, people see price changes in goods and services almost in real time. I don't think that would be something new with Bitcoin, which is nowadays getting more and more stable anyway.

The interesting thing is that it changes the concept of money, basically with fiat wealthy people try to stay away as much as possible from having cash and instead buy assets with it, because they know the value of cash will go down in the future. With Bitcoin though, it is the opposite, the value will probably go up, like an asset, so people have the opportunity to receive money, and just save it, without having to buy an asset. Bitcoin is an asset in itself. That's revolutionary.

Exactly, several countries fiat currency has been inflating day by day. But I think permitting the whole country to be using bitcoin as their means of payment is going to make things more complicated. Because from the look of things corruption has already damaged the value of our local currencies. This is possible because the banks are centralised and they are owned and control by the government, some agencies or groups of individuals.

Introducing Bitcoin to some people is going to be difficult, because some people haven't heard of the word "bitcoin" before, talk less of knowing what it is, and how important it is to them. Some people that have knowledge about bitcoin might use this opportunity to deceive them and steal everything from them.

Making bitcoin as a universal acceptable currency has advantages and also it has several disadvantages. Just as it going to be beneficial to some people, it will also take away a lots from some people. I know that some riches will be very glad to hear that, because they will the ability and confidence to store/keep their assets safely under their care/observation without any intermediary. But at least we should be considerate about the safety of the middle class people.

[Call_Me_Guru]

☞If Bitcoin was the currency of a country then what will happen?☜

It will not rise to a prominence like this. The limitation will be local, except it is the currency of US or EU.

Cryptocurrency is known as the fastest transaction medium for people around the world.

Where did you read that, what could be faster than just bringing out fiat from your pocket and paying for what you have just bought.

I disagree. You didn't consider countries where online fiat transactions are not advanced and those where the cross-border fiat transaction is a headache. I know what you are trying to say, but if we plus and subtract the point of arguments for and against, crypto still wins.

[Scarlett_23]

The citizens of the country where Bitcoin will be the currency must be highly skilled in information and communication technology. From the city to the very village alleys, electrical services and internet services must be operational. However, in many cases, especially in remote mountainous or island areas, it is not possible to provide these services. Again, the government of each country wants to control the economic system of its own country. Governments will never want to take power if they cannot control the economic system. Bitcoin is a digital gold. And people like to accumulate gold.

[hero_the_bossman]

The citizens of the country where Bitcoin will be the currency must be highly skilled in information and communication technology. From the city to the very village alleys, electrical services and internet services must be operational. However, in many cases, especially in remote mountainous or island areas, it is not possible to provide these services. Again, the government of each country wants to control the economic system of its own country. Governments will never want to take power if they cannot control the economic system. Bitcoin is a digital gold. And people like to accumulate gold.

 

That's why BTC slowly becomes an alternative, but not a full-on swap currency instead of fiat - it only gives something different in return, but that doesn't mean it will be the only thing to use for services / etc.

[Abiky]

Bitcoin is not suited to be someone's daily-to-use currency yet, it has its drawbacks as well as pros.

We are seeing Bitcoin to become something much bigger than only the ultimate store of value, and I hoping for more developments to come in that department throughout the world.

Bitcoin already has the capability to be used as a currency. The problem is core developers are holding it back. Especially when it comes to on-chain scalability. There's an off-chain scaling solution called "The Lightning Network", but so far, it's full of bugs. The main issue would be dealing with wild upswings in market price (volatility). After all, people continue to rely on Fiat as a standard unit of account. If goods and/or services were valued in BTC instead of Fiat, things would've been different by now. But I don't see this happening anytime soon. Not as long as Fiat continues to exist.

I'd say Bitcoin becoming the currency of a country is nothing more than impossible. Not even El Salvador was able to do it with success (despite making BTC legal tender). While you can technically use Bitcoin as a currency (medium of exchange) to buy stuff, it's certainly not a practical solution. At this point, it's hard to change BTC's status as a store of value. And I'm afraid it will remain that way forever.

[babo]

if bitcoin was a nation's currency
but it already has been!
certainly those who benefit are the citizens and not the state since it cannot print money at random
as some do, who print to finance wars

It's simple to understand, using bitcoin wars would become uneconomical..

BTC isn't suited to be such a currency full-on.

It's an alternative (as of now).

I can't say you're right but I can't say you're wrong either
remember I come from LUG (linux user group) and I have seen these dynamics in the past
Linux has gone from being an operating system for geeks to the operating system that TODAY runs on 96% of the machines on the planet
from alternative to the only real and serious solution

[fikrett]

Bitcoin is not suited to be someone's daily-to-use currency yet, it has its drawbacks as well as pros.

We are seeing Bitcoin to become something much bigger than only the ultimate store of value, and I hoping for more developments to come in that department throughout the world.

Bitcoin already has the capability to be used as a currency. The problem is core developers are holding it back. Especially when it comes to on-chain scalability. There's an off-chain scaling solution called "The Lightning Network", but so far, it's full of bugs. The main issue would be dealing with wild upswings in market price (volatility). After all, people continue to rely on Fiat as a standard unit of account. If goods and/or services were valued in BTC instead of Fiat, things would've been different by now. But I don't see this happening anytime soon. Not as long as Fiat continues to exist.

I'd say Bitcoin becoming the currency of a country is nothing more than impossible. Not even El Salvador was able to do it with success (despite making BTC legal tender). While you can technically use Bitcoin as a currency (medium of exchange) to buy stuff, it's certainly not a practical solution. At this point, it's hard to change BTC's status as a store of value. And I'm afraid it will remain that way forever.

BTC is just not as trusted currently for a such task.

We needed more than a decade or so for it to go where it is now, and we are talking about a switch toward it one of main sources of doing business and such.. More decades would be needed for that!

[Pablo-wood]

Bitcoin is most commonly known and used token in cryptocurrency. Suppose a country began to use Bitcoin instead of their currency. Then, what will happen?

First Bitcoin is not a token but a currency. The difference between a token and a currency is quite simple, while a token is a digital asset built on top of an existing Blockchain, Bitcoin as a cryptocurrency exists on its own Blockchain and is widely acceptable both as a medium of exchange and as a store of value. If countries begin to use Bitcoin as their sole currency they will have to deal with the volatility that comes it with. It's better we stick to our fiat currency and accept Bitcoin as an alternate currency and not the base currency.

Finally, if Bitcoin is the currency of a country, it will start a new economic age of that country. This will improve the economy of that country and some damage. So these positive and negative aspects of that country should be noticed equally.

Bitcoin will obviously improve the economy of any country if they have Bitcoin reserves aimed for a long term goal. But as a medium of exchange it won't improve their economy that much because they will spend more than the invested due to price fluctuations.

[hero_the_bossman]

Bitcoin will obviously improve the economy of any country if they have Bitcoin reserves aimed for a long term goal. But as a medium of exchange it won't improve their economy that much because they will spend more than the invested due to price fluctuations.

Depends on how much they are going to start with and what their target is at all.

To get a better picture and to see results, looking at the GDPs of some countries, there is much to be thought about and done..

[purple_sparkles]

Bitcoin will obviously improve the economy of any country if they have Bitcoin reserves aimed for a long term goal. But as a medium of exchange it won't improve their economy that much because they will spend more than the invested due to price fluctuations.

Depends on how much they are going to start with and what their target is at all.

To get a better picture and to see results, looking at the GDPs of some countries, there is much to be thought about and done..

In my opinion, Bitcoin is not suitable to be the national currency of a country. Looking at all the ups and downs of its price, Bitcoin’s volatility is too high and too dynamic. Such sharp fluctuations on the scale of a country’s economy can lead to serious risks and instability, which is too risky for maintaining the standard of living for the people. Therefore, Bitcoin is good as an asset, but it is not suitable as a national currency.

[Muba20]

I don't think there will be much benefit in using Bitcoin instead of Fiat. A person makes a direct hand-to-hand transaction with Fiat, it can be done in a short time. There is no additional fee to be paid. Moreover, the purpose of creating Bitcoin is not to take the place of Fiat. In the case of transactions, when we send a payment from one country to another, if it is sent in Bitcoin, there will be a big advantage. I don't have to be faced a third party. I can complete the transaction directly in a moment without any problem. We often want to consider Bitcoin as a change in the fiat and banking system when using Bitcoin, which is completely impossible. No matter how much the demand for Bitcoin increases, it will never be able to take the place of Fiat money and banks.

[tottong]

In my opinion, Bitcoin is not suitable to be the national currency of a country. Looking at all the ups and downs of its price, Bitcoin’s volatility is too high and too dynamic. Such sharp fluctuations on the scale of a country’s economy can lead to serious risks and instability, which is too risky for maintaining the standard of living for the people. Therefore, Bitcoin is good as an asset, but it is not suitable as a national currency.

The incompatibility depends a lot on the conditions of a country because we know El Salvador has done this and they have something that can be an example for other countries.
But to go further we need to test the level of suitability because each country has its own currency so deciding to accept bitcoin as an official currency will be quite risky.
This is the challenge and may be difficult to realize because changing regulations and accepting bitcoin as an official currency is not an easy thing to do.

So not all countries may be able to implement what El Salvador did because there are many things that need to be prepared.
In addition to talking about volatility or fluctuations that are so sharp.