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would you accept payouts from a person(in the US) who only agreed to pay you in Zimbabwean dollars? that's the argument you're making...sure the currency has va

would you accept payouts from a person(in the US) who only agreed to pay you in Zimbabwean dollars? that's the argument you're making...sure the currency has value but are you prepared to stomach the risk that dealing with it entails?

mruts 8y ago
Well not to buy a pizza, probably not. But if I wanted to buy drugs, then, yeah probably. Also 90% of the population is in the developing world where it might actually be the case that BTC is more trusted than their local currency. I think it’s myopic to consider the value of crypto against the 1st world’s banking system with respect to ‘standard’ transactions. The value lies in either: ‘non-standard’ transactions (buying black market goods) or in developing nations.
- demxzy 8y ago
  Even in majority of developing countries, it's better to keep your money in Fiat or even USD account(where allowed) becuase you don't suddenly loose 80% in a month or two (Exceptions bring countries like Zimbabwe and Venezuela). Sure, you could loose say 20 to 30% due to fiscal adjustments due to many factors over a year, but almost everyone in your country would likely be in the same boat as you and things like PPP (for locally manufactured goods) might adjust to minimize some of the impact
  - mruts 8y ago
    A lot of developing countries prohibit currency exchange. For example I moved from the US to Tanzania about 6 months ago and the government has outlawed currency exchanges. There are only 2 ways to get USD: 1) the black market, which is expensive, 10% above the “fair” price 2) the National bank, which is 25% over the “fair” price. I think BTC might be an attractive alternative here. Moreover, by some measures, annual inflation is 7-10%. So holding the local currency is highly penalized
- puranjay 8y ago
  Nearly 3B of the developing world population is in India and China. I'm Indian and BTC is virtually banned here. Not that it has much utility - our payment systems are very robust and essentially free. UPI, a mobile-first payment protocol, beats anything crypto can throw up.
  - SZJX 8y ago
    Two very different beasts. When you use the mobile payment system all your traces and data are being exposed, even much more than using cash. While people who need anonymity, or at least want to be hard to track, be it for buying drugs or escaping the unstable local currencies, definitely have a valid use case for crypto. Lumping everything under the term "scam" is shallow.

mruts 8y ago

Well not to buy a pizza, probably not. But if I wanted to buy drugs, then, yeah probably. Also 90% of the population is in the developing world where it might actually be the case that BTC is more trusted than their local currency. I think it’s myopic to consider the value of crypto against the 1st world’s banking system with respect to ‘standard’ transactions. The value lies in either: ‘non-standard’ transactions (buying black market goods) or in developing nations.

demxzy 8y ago
Even in majority of developing countries, it's better to keep your money in Fiat or even USD account(where allowed) becuase you don't suddenly loose 80% in a month or two (Exceptions bring countries like Zimbabwe and Venezuela). Sure, you could loose say 20 to 30% due to fiscal adjustments due to many factors over a year, but almost everyone in your country would likely be in the same boat as you and things like PPP (for locally manufactured goods) might adjust to minimize some of the impact
- mruts 8y ago
  A lot of developing countries prohibit currency exchange. For example I moved from the US to Tanzania about 6 months ago and the government has outlawed currency exchanges. There are only 2 ways to get USD: 1) the black market, which is expensive, 10% above the “fair” price 2) the National bank, which is 25% over the “fair” price. I think BTC might be an attractive alternative here. Moreover, by some measures, annual inflation is 7-10%. So holding the local currency is highly penalized
puranjay 8y ago
Nearly 3B of the developing world population is in India and China. I'm Indian and BTC is virtually banned here. Not that it has much utility - our payment systems are very robust and essentially free. UPI, a mobile-first payment protocol, beats anything crypto can throw up.
- SZJX 8y ago
  Two very different beasts. When you use the mobile payment system all your traces and data are being exposed, even much more than using cash. While people who need anonymity, or at least want to be hard to track, be it for buying drugs or escaping the unstable local currencies, definitely have a valid use case for crypto. Lumping everything under the term "scam" is shallow.