Does crypto currency can save the economy?

[Peter90]

Always interesting and enjoyable to read your replies - reasoned, meaningful, complete

No, not complete, only reasoned and meaningful 
I forgot this one:
My country: depending on bank, account fees vary from 10€ to 20€ / month.
120/240 € / year, only to keep an account open.
My Kinesis account costs squat.



There are entire regions in this world where the banking system isn't developed like in your country.
There are millions, hundred of millions of inhabitants of this planet who are unbanked or underbanked - for whatever reason - but each one of them has a smartphone.
When comparing banking with crypto it's fair to consider these people too.

[DrBeer]

Always interesting and enjoyable to read your replies - reasoned, meaningful, complete

No, not complete, only reasoned and meaningful 
I forgot this one:
My country: depending on bank, account fees vary from 10€ to 20€ / month.
120/240 € / year, only to keep an account open.
My Kinesis account costs squat.



There are entire regions in this world where the banking system isn't developed like in your country.
There are millions, hundred of millions of inhabitants of this planet who are unbanked or underbanked - for whatever reason - but each one of them has a smartphone.
When comparing banking with crypto it's fair to consider these people too.

To be honest, I am surprised by such greed of banks in your country... Unfortunately, I don’t understand this....
I can’t call my country the most developed and advanced, but the banking sector in Ukraine has been rebuilt and has become friendly for any citizen of Ukraine a long time ago!
Opening and servicing card accounts has long been completely free. for example, for individuals, and this is from social (pensions and benefits) and salary cards, to just card accounts - the cost of owning a card is 0 UAH/month.
I have the main Visa Platinum card - not only is there no cost of owning an account, moreover, I have a lot of advantages that this type of card provides - from cashback on every purchase, to a set of quality services, for example, at airports I have free access to VIP lounge areas/ expectations. There is a concierge service, within which I am provided with many more services. Yes, to be fair, I must say that such conditions work if I spend a certain amount on this card every month. But my regular expenses are above this “entry threshold” - I pay her for everything - utilities for my apartment, for my parents and mother-in-law, taxes, shopping at the store, refueling the car, vacations, taxis...

Therefore, comparing what I have in my country and what is in your country, I agree that for a significant number of people, cryptocurrency is definitely an excellent alternative to banking services!

[Peter90]

To be honest, I am surprised by such greed of banks in your country... Unfortunately, I don’t understand this....
I can’t call my country the most developed and advanced, but the banking sector in Ukraine has been rebuilt and has become friendly for any citizen of Ukraine a long time ago!
Opening and servicing card accounts has long been completely free. for example, for individuals, and this is from social (pensions and benefits) and salary cards, to just card accounts - the cost of owning a card is 0 UAH/month.
I have the main Visa Platinum card - not only is there no cost of owning an account, moreover, I have a lot of advantages that this type of card provides - from cashback on every purchase, to a set of quality services, for example, at airports I have free access to VIP lounge areas/ expectations. There is a concierge service, within which I am provided with many more services. Yes, to be fair, I must say that such conditions work if I spend a certain amount on this card every month. But my regular expenses are above this “entry threshold” - I pay her for everything - utilities for my apartment, for my parents and mother-in-law, taxes, shopping at the store, refueling the car, vacations, taxis...

Therefore, comparing what I have in my country and what is in your country, I agree that for a significant number of people, cryptocurrency is definitely an excellent alternative to banking services!

It's not just my country.

Indonesia, international transfer fees = 6,3%
6,3% vs. (example Kinesis) 0,45%
Huge difference, if you ask me


Don't think that unbanked and underbanked is something of poor countries:
"plenty of Americans never step inside their branches, download their apps or deposit money in their accounts. They’re known as the unbanked, and the most recent numbers from the Federal Deposit Insurance Corporation (FDIC) show that 4.5 percent of U.S. households — about 5.9 million people — are unbanked.
A further 14.1 percent of U.S. households are considered underbanked." bankrate.com


What are the main reasons for being unbanked or underbanked, you ask.
Well for example:

• Lack of Trust in Mainstream Banking
• Convenience and Access
• Problems with Language and Literacy
• Unemployed or Lack of Steady Income
• Your past financial behavior put you on a no-account list
• You’re aiming to avoid fees
• You’re worried about meeting minimum balance requirements
• You’re trying to avoid debt collectors
• etc...

When you compare pros and cons of banking system vs. cryptocurrencies it's unfair to consider your situation as the standard situation.
As soon as you consider the situation of hundreds of millions of unbanked and underbanked people around the world, the advantages of cryptos - well, of some cryptos at least - are immediately evident.

[DrBeer]

....
It's not just my country.

Indonesia, international transfer fees = 6,3%
6,3% vs. (example Kinesis) 0,45%
Huge difference, if you ask me


Don't think that unbanked and underbanked is something of poor countries:
"plenty of Americans never step inside their branches, download their apps or deposit money in their accounts. They’re known as the unbanked, and the most recent numbers from the Federal Deposit Insurance Corporation (FDIC) show that 4.5 percent of U.S. households — about 5.9 million people — are unbanked.
A further 14.1 percent of U.S. households are considered underbanked." bankrate.com


What are the main reasons for being unbanked or underbanked, you ask.
Well for example:

• Lack of Trust in Mainstream Banking
• Convenience and Access
• Problems with Language and Literacy
• Unemployed or Lack of Steady Income
• Your past financial behavior put you on a no-account list
• You’re aiming to avoid fees
• You’re worried about meeting minimum balance requirements
• You’re trying to avoid debt collectors
• etc...

When you compare pros and cons of banking system vs. cryptocurrencies it's unfair to consider your situation as the standard situation.
As soon as you consider the situation of hundreds of millions of unbanked and underbanked people around the world, the advantages of cryptos - well, of some cryptos at least - are immediately evident.

Once again, I will state my position in this case:
1. I am surprised that in many countries banking services are in such a state, such fees and terms of service provision.  Since I have long been accustomed to a completely different level of banking services
2. I agree that cryptocurrencies are a good solution ! A good solution, at least where banking services are unacceptable, inconvenient, expensive.
3. how much cryptocurrencies can help a country's global economy is questionable.

[0t3p0t]

how much cryptocurrencies can help a country's global economy is questionable.

Well yeah sort of because this will also depends on how adoption of cryptocurrency in a specific country that could impact the growth of it's economy. For example here in my country SEC has strong and strict regulation on foreign crypto exchanges especially those that does not comply registration but I know it has pros and cons on that matter but what I wanted to see and hear is about massive adoption given that Bitcoin ETF is now on hot seat. For me as of the moment I can feel the slow adoption happening in my country I don't know why but that is the reality and I can say that it really is questionable.

[DrBeer]

how much cryptocurrencies can help a country's global economy is questionable.

Well yeah sort of because this will also depends on how adoption of cryptocurrency in a specific country that could impact the growth of it's economy. For example here in my country SEC has strong and strict regulation on foreign crypto exchanges especially those that does not comply registration but I know it has pros and cons on that matter but what I wanted to see and hear is about massive adoption given that Bitcoin ETF is now on hot seat. For me as of the moment I can feel the slow adoption happening in my country I don't know why but that is the reality and I can say that it really is questionable.

I am more of the opinion that cryptocurrencies are not about “saving the country’s economy”, but about the opportunity for the very broad masses, with minimal investments, to ensure a more stable standard of living, and for some, to earn money. In its purest form, it is unlikely that anyone will allow cryptocurrency as an alternative to the state financial model, but there may be projects such as the project described by the respected Peter90 in this thread https://www.altcoinstalks.com/index.php?topic=314981
This is a really good and necessary project, built on the basis of blockchain, but does not replace the national currency.

[pinguri]

The integration of cryptocurrency within the economic framework of impoverished nations bears the allure of transformative potential, ostensibly offering a gateway to financial autonomy and technological modernization. However, this ostensible boon is juxtaposed with the inherent volatility endemic to cryptocurrency markets, engendering a precarious dichotomy wherein the promise of prosperity coexists with the specter of economic instability. While the adoption of digital currencies such as Bitcoin in countries like Cambodia signals a bold step towards financial innovation, the nascent and capricious nature of these assets underscores the palpable risks inherent in their utilization as instruments of economic upliftment. Thus, while the advent of cryptocurrency harbors the prospect of economic amelioration in impoverished regions, the concomitant exposure to market volatility necessitates a tempered assessment of its efficacy as a panacea for endemic poverty.

[Altcoin1998$]

In third world country we can see that many are suffering from poverty and desire financial freedom. After cryptocurrency had been discovered it is now became the center of attraction and a country like Cambodia is now adopting bitcoin and built its own blockchain with its digital currency-like called bakong.

I believe such adoption is for the fact that there is more chance of making profit while leading the country into a modern way of payment system. What I'm thinking, even they have such opportunity for profit and modernization we can't deny the fact that losing could also be their future since crypto currency is volatile.

Do you think cryptocurrency can elevates the economy of a poor country despite its volatility.

I don't understand how it would be reasonable to value a country's total reserves even though Bitcoin is a digital currency.
It would not be reasonable to store and transact a country's reserve currency through Bitcoin. In this case, it will not be possible to control the country's banking system and reserve system through Bitcoin, especially for a poor country like my country.  ..
Moreover, when a country legalizes Bitcoin, both Bitcoin exchange and investment systems become very challenging because Bitcoin always fluctuates in the market with a situational structure based on price, so investments are always risky.

[DrBeer]

The integration of cryptocurrency within the economic framework of impoverished nations bears the allure of transformative potential, ostensibly offering a gateway to financial autonomy and technological modernization. However, this ostensible boon is juxtaposed with the inherent volatility endemic to cryptocurrency markets, engendering a precarious dichotomy wherein the promise of prosperity coexists with the specter of economic instability. While the adoption of digital currencies such as Bitcoin in countries like Cambodia signals a bold step towards financial innovation, the nascent and capricious nature of these assets underscores the palpable risks inherent in their utilization as instruments of economic upliftment. Thus, while the advent of cryptocurrency harbors the prospect of economic amelioration in impoverished regions, the concomitant exposure to market volatility necessitates a tempered assessment of its efficacy as a panacea for endemic poverty.

I suggest we clarify:
- Cryptocurrencies as a substitute for national currency or an official means of payment in a country, will not bring improvements to the economy. And unregulated use of cryptocurrencies can harm the economy of the country
- Blockchain technologies introduced as additional services, including financial ones, can help the economy and the population as a whole. It can be convenient tools for attracting investment, new jobs, and more opportunities to access other financial instruments.

[0t3p0t]

In third world country we can see that many are suffering from poverty and desire financial freedom. After cryptocurrency had been discovered it is now became the center of attraction and a country like Cambodia is now adopting bitcoin and built its own blockchain with its digital currency-like called bakong.

I believe such adoption is for the fact that there is more chance of making profit while leading the country into a modern way of payment system. What I'm thinking, even they have such opportunity for profit and modernization we can't deny the fact that losing could also be their future since crypto currency is volatile.

Do you think cryptocurrency can elevates the economy of a poor country despite its volatility.

I don't understand how it would be reasonable to value a country's total reserves even though Bitcoin is a digital currency.
It would not be reasonable to store and transact a country's reserve currency through Bitcoin. In this case, it will not be possible to control the country's banking system and reserve system through Bitcoin, especially for a poor country like my country.  ..
Moreover, when a country legalizes Bitcoin, both Bitcoin exchange and investment systems become very challenging because Bitcoin always fluctuates in the market with a situational structure based on price, so investments are always risky.

Yeah the volatile characteristics or nature of Bitcoin is for me not the best one to choose when talking about reserves as we all know that reserves needs to be stable like precious metals especially gold that some countries love to back their currencies with it just like BRICS if I am not mistaken.