gold: Bitcoin as a solution for inflation. Will Argentina adopt Cryptocurrencies like El Salvador?

gold: Bitcoin as a solution for inflation. Will Argentina adopt Cryptocurrencies like El Salvador?

< Show Wisdom Collection: Bitcoin as a solution for inflation. Will Argentina adopt Cryptocurrencies like El Salvador?article avatarBankole Oluwamayowa

Web developer

Can Bitcoin be the solution for inflation? Why?

Absolutely yes. I usually define bitcoin as a social network for smart people who like financial freedom. As such, any country that wants to be financially and economically free should embrace bitcoin. Inflation is an inevitable enemy allcountry will surely encounter, because of the diverse reason that leads to that. Among theses reasons are unemployment, importing more than exporting, deflation of fiat among other reason. If a country therefore embraces bitcoin, its annual transactional fees or charges in foreign exchange will automatically disappear which will help more circulation of fund. Besides, Bitcoin is structured technologically to encourage a deflationary attitude and a relatively stable store of value. Just like the role gold plated in the economy of most countries around the globe in the 20th century.

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

Well, everyone around the cryptospace knows quite well that the price of BTC determines the major rise and fall in prices of the alts. Historically, BTC has experience surge in price more and more over time as a result of acceptability. As such, the more BTC is widely accepted, the more it's price surges which will in turn leave a foot print on the alts. In summary, BTC as a legal tender across all countries will enhance swift international transactions and as well leads to surge in prices of all other cryptocurrencies. So it's "a win win game"

article avatarmahdi hosseini

Programming

Can Bitcoin be the solution for inflation? Why?

We can assume Digital Currencies as Next generation of currency in world and this is Inevitable. We can see what happened to universal economy during COVID-19 pandemic. inflation increased in all countries. Central banks print more money to provide more liquidity and in result more inflation happens. At the moment only digital currencies can solve inflation as a economic model because their value won't decrease in abnormal situations same as fiat currencies or maybe people decide to use gold and silver for exchange like first humans. The most important option in digital currency is controlling issued number of them. Watching all transactions and track them. Set better law against money laundering. More transparent finance . issue or burn units as much as we want to keep its value. Bitcoin has the power to be main global currency because it is most popular of them. But the main challenge is about Carbon Effect (fossil based power consumption) in CryptoCurrencies. How much faster we solve carbon effect we can use them in global faster. unfortunately today Digital Currencies are involved with whales and their decisions.so price and value are in fluctuation.

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

When fiat money lost price according to inflation, other accepted currencies can raise. Less liquidity results higher price. Bitcoin can collect liquidity and reduce liquidity in society so inflation will decrease.but what will happen if all decide to sell their bitcoin. Who will control issuing a person?a politician?a government?

article avatarHenry Bill

Trader

Can Bitcoin be the solution for inflation? Why?

Yes, Bitcoin sure. It's one solution for inflation. The most current circulating coins are issued and controlled exclusively by the government. And when the government manages the finances and manages the economy in a weak way, inflation will become more and more serious. The traditional currency depreciated because of printing too much out of control. BTC has a small and limited total circulation. And BTC is divided among many private institutions around the world to hold. That makes BTC valuable and inflation-free. There is only one small problem that the cost of BTC mining is increasing day by day. And the fee per transaction also increases as they become scarce. that's not good if BTC wants to become the universal currency. But Currently there are many other alternatives. Those are the Altcoins. The question now is whether altcoins are strong enough to become a popular and accepted currency in many countries. it's a fierce competition. Thank, It's my idea

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

a good question. Everyone know about BTC, but Not everyone knows ETH, BNB, LTC, XRP or any altcoin. BTC has a very important role in the world of cryptocurrencies. Maybe BTC like as gold of cryptocurrencies. So Bitcoin as a legal tender, it will be a huge boost for the crypto market. I believe it

article avatarHasan Tolaema

chief executive officer

Can Bitcoin be the solution for inflation? Why?

If the world uses Bitcoin, there will be no more QE, and if so, many Superpowers will go bankrupt (in the subprime, if the US doesn't QE, the US is bankrupt by now, Japan and the Euro as well). The whole world uses Bitcoin like gold. no hard money No currency intervention, no Forex market to trade. We fly to Japan and use Bitcoin to buy ramen just like in Thailand using Bitcoin to buy boat noodles.

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

When it was introduced to the world over a decade ago, Bitcoin was supposed to be a revolution in the finance ecosystem. But that revolution has hardly come to pass. The cryptocurrency’s tumultuous first decade has been marked by scandals, missteps, and wild price swings. After achieving a record high price of more than $63,000 in April 2021, BTC has fallen by 24% to nearly $48,000 as of August 30, 2021.1 But investors and the cryptocurrency’s enthusiasts have doubled down on their optimism regarding its future. As such, the coming decade could prove to be pivotal to Bitcoin and cryptocurrencies more broadly.

article avatarVision N

Full Stack Developer / Crypto / Blockchain

Can Bitcoin be the solution for inflation? Why?

Yes, as a crypto enthusiast I say, Bitcoin can be the hedge against inflation due to so many reasons. Bitcoin has a limited supply of 21 million and it is not like traditional finance in which paper banknotes can be printed according to the demand. Once 21 million bitcoin is mined, there will be no additional supply of BTC and this scarcity inspires Bitcoin to be digital gold to act as a hedge against inflation.

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

Recognizing Bitcoin as a legal tender means it also helps to increase the use-cases of cryptocurrencies with the increased adoption. You know, Bitcoin influences the price of so many pair strengths of the crypto in the cryptocurrency markets.

article avatarBoris B

TECH

Can Bitcoin be the solution for inflation? Why?

Due to its deflationary mechanism ,halving etc and decentralised nature it is stronger chanse of success than fiat currency .Other coins,altcoins through burn process can achieve the same.

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

Well more and more other types of crypto currencies and solutions wil be trusted and accepted globaly.Demand will drive the value .Bitcoin is strongest security in digital currencies,like gold.

article avatarMohammad Muhtar

Senior

Can Bitcoin be the solution for inflation? Why?

Yes, technically even Bitcoin experiences inflation as more of it is mined (as does gold). But because the amount of new bitcoin is automatically reduced by 50 percent every four years, Bitcoin's inflation rate will also decrease.

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

Yes, technically even Bitcoin experiences inflation as more of it is mined (as does gold). But because the amount of new bitcoin is automatically reduced by 50 percent every four years, Bitcoin's inflation rate will also decrease.

article avatarOussama Khelif

Btc

Can Bitcoin be the solution for inflation? Why?

Yes, technically even Bitcoin experiences inflation as more of it is mined (as does gold). But because the amount of new bitcoin is automatically reduced by 50 percent every four years, Bitcoin's inflation rate will also decrease.

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

Making bitcoin "legal tender" means shops and businesses must accept it for goods and services, and they can choose to express prices in the currency

article avatarFaisal Hamzah haz

Mekanik

Can Bitcoin be the solution for inflation? Why?

During times of international economic crisis, governments print money. This is done on inflation and investors then keep their investment capital in a stable long term. Historically, this meant gold, but in the current economic crisis, gold is accompanied by other long-term stores of value:

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

Bitcoin users have complete control over their transactions; it is impossible for the seller to make an unwanted charge let alone get noticed as can happen with other payment methods. With Bitcoin it can be created without including a personal Payment Identity for the payment process. This provides strong protection from identity thieves. Bitcoin users can also protect their money with backup and encryption

article avatarFatunase Ayodele

Junior Account officer

Can Bitcoin be the solution for inflation? Why?

What is inflation in the first instance? Inflation is the persistent and continuous rise in the general price level of goods and services over a given period; inflation generally comes about because of a general decrease in the purchasing power of a fiat currency Bitcoin is a decentralized, peer-to-peer cryptocurrency system that processes transactions through digital units of exchange called bitcoin. It was invented in 2009, and the Bitcoin network has come to dominate and even define the cryptocurrency space, spawning a legion of altcoin followers and representing for some users an alternative to government flat currencies like the U.S. dollar or the euro, or pure commodity currencies like gold or silver coins. Bitcoin is structured technologically to encourage a deflationary attitude and a relatively stable store of value that partially harkens back to the “gold standard”. In this way, the community acts as a place where investors and community participants can raise their hand against the inflationary consensus. It is in this way that we can see Bitcoin and cryptocurrencies like it acting as a true and meaningful hedge against inflation — and the economics and policy thought that drive it. It would be great if we could somehow magically determine when the world will have mass adoption of bitcoin, but we can’t. However, the more fiat currencies fail, which they inevitably will, the more people will choose bitcoin as an alternative. Source: forbes.com, investopedia.com

How Bitcoin as a legal tender could affect the crypto market if this solution is used more and more?

Bitcoin has user autonomy Conventional fiat currencies are subject to multiple restrictions and risks. Sometimes, these situations can end in bank runs and crashes, as has occurred numerous times in the past. This means that users are not really in control of their money. Bitcoin transactions are pseudonymous - Most online transactions require an array of information to identify the person conducting the transaction. While this means that they are not completely anonymous, the transactions can be identified only by using a blockchain address. An individual can have multiple addresses, just as they can have multiple usernames and passwords for a single account. Bitcoin transactions are conducted on a peer-to-peer basis - The Bitcoin payment system is purely peer to peer, meaning that users are able to send and receive payments to or from anyone on the network around the world. Unless they are sending or receiving bitcoin from a regulated exchange or institution, the parties to a transaction do not require approval from an external source or authority. Bitcoin transactions do not incur banking fees While it is considered standard among fiat currency exchanges to charge so-called “maker” and “taker” fees, as well as occasional deposit and withdrawal fees, This means no account maintenance or minimum balance fees, no overdraft charges, and no returned deposit fees, among many others. Bitcoin payments have low transaction fees for international payments Bitcoin transactions are irreversible One of the characteristics of Bitcoin’s blockchain is that it is immutable. Therefore, transactions using the blockchain are irreversible and cannot be amended by a third party, such as a government entity or a financial services agency. Accessibility Because users are able to send and receive bitcoins with only a smartphone or computer, Bitcoin is theoretically available to populations of users without access to traditional banking systems, credit cards, and other methods of payment. Source- Investopedia.com

This is not a financial advice. Please do your own research and consider the risks of trading cryptocurrencies.

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