El Salvador and the Bitcoin Pump

[bayu7adi]

After officially adopting Bitcoin as a medium of exchange by Nayib Bukele, El Salvador's government investment in Bitcoin has now recorded a profit of 117%,

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

[bitterguy28]

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

definitely profit is not the uncertain thing here but how will they be able to afford it the government is going to need to set aside a certain amount of their budget to put into buying bitcoin and most importantly they need to find an appropriate time to buy bitcoin to maximize their profits some countries need to adopt bitcoin earlier than most it will certainly benefit them if they are the ones to adopt bitcoin first among the other countries

as someone from a third world country i do hope that the government starts looking at bitcoin and finding opportunities for the country to benefit from it

[joniboini]

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

Really depends on your definition of adoption. Converting all their reserves into Bitcoin without sufficient measures in case the bear market comes would be a stupid thing to do as a government. Even if your approval rating is high it can hit rock bottom easily if your society suffers because foreign investors don't feel safe trading on your market because your national capital decreased rapidly. Pretty sure your question would be different if we're in a bear market right now.

Bitcoin is not a magical solution to poverty and many other things. They certainly need to do more than demand their people to buy stuff with Bitcoin to escape from poverty. CMIIW.

[Azharul]

After officially adopting Bitcoin as a medium of exchange by Nayib Bukele, El Salvador's government investment in Bitcoin has now recorded a profit of 117%,

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

Yes, i believe that you could express a best opinion in your post. So i am also agree with your best valuable comment. We also believe that when bitcoin supply in the worldwide, then i believe that every country will be best opportunity in cryptocurrency market. I also think that in this reason every country could be reach near best position. So if we want to aware for darkness people to invest or hold in cryptocurrency market, then i believe that they could enter the light world from bitcoin or others crypto.

[TomPluz]

What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

There is no straight YES or NO to this answer because when we are talking on economic development the subject can be so complex and many countries find out that getting there - improving their people's economic standing - can be so hard and in many cases beyond reach. Even in countries with enough natural and human resources, it can be so difficult for the people to escape poverty most especially when the government has become the people's enemy instead of being there for them every step of the way.

Now, if these countries will invest in Bitcoin, there is no guarantee whatsoever that the people's economic life will improve at all...but then it can mean that the government will have more money to invest with the people if they choose to. While El Salvador is right now praised for its right decision to go all the way for Bitcoin, there were times when its president Nayib Bukele was heavily criticized for his Bitcoin decision...and he is right now vindicated but it does not mean that people in El Salvador are already in improved state as developments can really take time to take a root.

[Bobcrypto]

After officially adopting Bitcoin as a medium of exchange by Nayib Bukele, El Salvador's government investment in Bitcoin has now recorded a profit of 117%,

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

I think adopting Bitcoin by any country will always help them solve diverse financial and economic issues whether poor countries or the Rich countries. Bitcoin has shown this capacity and the potential to solve issues for everyone. it is obviously can be a big store of value if some of these countries will release this.
Elsalvado has show the way for as many countries that may adopt to Bitcoin, we all can see their progress so far, it has been excellent investments, no doubt about it.

[bounceback]

After officially adopting Bitcoin as a medium of exchange by Nayib Bukele, El Salvador's government investment in Bitcoin has now recorded a profit of 117%,

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

Wow, amazing profitable earn by El Savador since make bitcoin become legal payment transaction in 2021, actually the profitable journey reach until 117% not easily because based on my knowledge invested when bitcoin price reaching $50k. Around several months later bitcoin dump drastically and drop under $20k but consistency of El Savador government keep investing during bitcoin have significant drop.
Any one know what the future decision taking by El Savador government keep holding their bitcoin assets although reach profitable earn more than 117% or they have sell few percent of their bitcoin assets after bitcoin success hit above $104k.

[bitmover]

After officially adopting Bitcoin as a medium of exchange by Nayib Bukele, El Salvador's government investment in Bitcoin has now recorded a profit of 117%,

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

El Salvador Bitcoin investment didnt improve its economy. Government just made a few money, but it won't solve their problems.

Most problem related to poor countries isn't only the lack of money, but poor management of the money. Corruption, bad laws, bad incentives for the private companies, and so on....

Bitcoin won't help countries, but it can help individuals

[Lucius]

~snip~
Bitcoin won't help countries, but it can help individuals

Let's say that I agree with that statement, but I would still add that there would be an exception if by any chance that country (or another in a similar situation) started investing in BTC when it was much cheaper than it is today. Those who started investing in BTC 5 years ago are not in the same financial situation as those who did so 10 years ago - that is probably very clear mathematics about which there are no doubts.

The problem (if we can even call it that) is that 8-10 years ago, almost none of today's big believers believed that BTC would succeed. Now imagine that a country like ES had a few hundred thousand BTC in its reserves that it bought at an average price of a few thousand $ - that would make a huge difference in that country's financial balance.

[MrSpasybo]

After officially adopting Bitcoin as a medium of exchange by Nayib Bukele, El Salvador's government investment in Bitcoin has now recorded a profit of 117%,

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

El Salvador is a pioneer in the wave of BTC adoption and currently BTC is only a legal tender in El Salvador, attracting investment and tourism flows. In other countries, BTC is only legal property and cannot be used in parallel with fiat.

I think BTC can be a solution to the inflation problem in many countries, but it cannot have a positive impact on the media for every country that adopts it. When the adoption of BTC becomes normal, the difference will no longer exist. I believe that the strategy of hoarding BTC is a better solution for governments to be proactive in the future.

[Aanuoluwatofunmi]

After officially adopting Bitcoin as a medium of exchange by Nayib Bukele, El Salvador's government investment in Bitcoin has now recorded a profit of 117%,

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

Ever since the adoption of bitcoin as a legal tender in El-Salvador, things have continually change for better to the entire country, this is not because they were not faced with challenges at the cause of the adoption, but they are not moved and stuck down by some of these challenges, because they know what is in ahead for them after the whole storm is gone, bitcoin went dip and they went at loss then, but now its something we can reckon with and tell as a story because they are now profitable in every of their steps concerning bitcoin.

[Zed0X]

It has to do a lot with the timing. Nayib Bukele is vindicated for his bold move since BTC pumped but will be scrutinized once again if crypto 'hibernates' during the winter. Poor countries must mean low reserves and those officials involved with the financials will have to be really smart when to enter because they don't have enough resources to spare. It's like having only one shot to make it right.

[vegasus]

After officially adopting Bitcoin as a medium of exchange by Nayib Bukele, El Salvador's government investment in Bitcoin has now recorded a profit of 117%,

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

Actually, if you look at the current conditions, it certainly seems very profitable, we see how high the profits are from their investment in Bitcoin, especially since BTC was legalized as legal tender in their country. However, all decisions must have pros and cons. If we look at it now, everything must seem beautiful, but when the price of BTC is still falling, it seems quite difficult for some people to use it as an investment, and there may even be a lot of panic because of it.

Because BTC is volatile, it is grateful that El Salvador can go through this process which is certainly very complicated and not easy. And they are really ready for the mass adoption of Bitcoin, which will certainly affect many things. However, for all countries, I don't know, because not all countries are really that ready to accept BTC, especially countries that still lack insight and technology exploration, it will definitely take a lot of time. and especially if not ready with the various risks of the Bitcoin market, it might actually make it look bad in the eyes of some people. but once again, there is no policy that will always satisfy or suit all its citizens, there will definitely be pros and cons. so, it will also depend on each government how to ensure that its citizens will be ready and willing to accept Bitcoin, and how to prepare its citizens to be more technologically literate, and so on related to its Bitcoin assets.

[taufik123]

It is not certain and still needs to be researched, because of course the people of El Salvador will be different from people in other countries.
In the early days of bitcoin adoption, many pros and cons occurred.

In developing countries, people also already have a forward mindset and know what bitcoin and crypto are,
only the application is whether it can be legally adopted or not.

In developing countries in Asia, it may be more difficult, as the majority of people in Asia still do not understand what bitcoin is and its technology.
There is still a lot of research to be done to make a legitimate adoption.

[0t3p0t]

After officially adopting Bitcoin as a medium of exchange by Nayib Bukele, El Salvador's government investment in Bitcoin has now recorded a profit of 117%,

Is it appropriate to adopt Bitcoin to the government level like El Salvador? What if countries with slightly difficult economies adopt Bitcoin too, like some countries in the African continent? Do you think it can improve the economy of poor countries too?

1. Yes it is as long the government knows the risks of adopting Bitcoin.
2. Countries with slightly difficult economies is common and as long as they are willing to allocate a portion of investment into Bitcoin it is all good as no one really wanted to go all in especially you are risking the country's funds.
3. Depending on how much they invested into Bitcoin but we will expect profit and loss on this as we all know there is what we called cycle in this asset so yeah it all depends on the capital and gains.