Alexander Hoptner, the CEO of a cryptocurrency exchange BitMEX said that more countries will soon follow El Salvador’s path in adopting Bitcoin (BTC).
Crypto-pocalypse, here we come! According to Hoptner his forecast points towards five countries accepting the world’s largest crypto by market capitalization at the end of next year. Will you be able to survive?
In 2021 we’ve seen incredible progress in terms regional integration with regards towards both cryptocurrency adoption & blockchain innovation; look out world – It seems like you’re not alone anymore when A few months ago no one would everhave imagined such timescales but here
BitMEX’s CEO highlighted that El Salvador’s decision to adopt Bitcoin as legal tender should deserve praise, not derision. He provided some reasons to back his forecast on why five more countries will follow suit in the near future and embrace cryptocurrency for their currencies’ governments.
“The importance of this cannot be overstated for many developing countries whose main export is human capital. Citizens working abroad need to send money to their families at home to help pay the rent, send their children to school and buy groceries. […] This money has got to find a way home somehow. But, the current system of remittances, led by money service providers like Western Union, is ripping people off by charging them an average of 10 percent just to send money home the next business day. This is heartbreaking and wrong. People deserve better,” he said.
What’s more, Hoptner mentioned that inflation is also an important reason for which some countries may embrace bitcoin without specifying which exact nations. He also adds that the world’s most well known and prominent cryptocurrency, Bitcoin (BTC), might be able to solve the inflation problem plaguing developing countries globally.
According to Hoptner, “While consumers in advanced economies might be better placed to weather shocks, people in developing countries are more vulnerable, especially when the price of consumer goods and services is impacted. Even when governments don’t take the initiative like in El Salvador, people seek alternatives to fiat currency during inflation crises.”
Its Not Just A Means of Means of Payment
Bitcoin is more than just a means of payment, it’s also an indicator for what people think and feel about current events in their world.
Bitcoin has become shorthand for political disillusionment with traditional solutions like government controlled currencies or central banks; specifically because Bitcoin cannot be manipulated by any single individual politician who might have nefarious motives to skew economic data reports.
“But if it’s a reality that politics will play a big role in the adoption of Bitcoin as legal tender, it’s also true that any failings by these leaders in the implementation phase may hurt wider adoption of cryptocurrencies in general. That’s the dangerous dilemma that lies ahead,” the BitMEX chief adds.
With its volcanic geothermal energy, El Salvador has become the first country in Latin America to successfully mine bitcoins using this form of power. The president says that his government “will expand” BTC mining due to increasing demand for cryptocurrency worldwide and domestically among other things like financing small businesses with low income earners who don’t qualify for loans because they’re not legally considered residents so can use cryptocurrencies instead!
Bukele said at the International Conference on Entrepreneurship attended by over 1,000 business leaders: “This technology could generate millions while reducing electricity costs.”