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The important thing to note about El Salvador's Bitcoin buying strategy is that it is not a "Buy and Hodl" strategy. Bitcoin in El Salvador is used as a currenc
by garydevenay 4y ago
The important thing to note about El Salvador's Bitcoin buying strategy is that it is not a "Buy and Hodl" strategy. Bitcoin in El Salvador is used as a currency, and just in the same way the Salvadorian government needs to procure dollars for their citizens to use in the country, they do the same for Bitcoin.
The Bitcoin that El Salvador is buying is used as liquidity and is interchanged to and from dollars with it citizens on a daily basis. They are constantly making BTC/USD trades with their citizens, so it's not quite as straight-forward as "Bought at price X, today's price is Y, therefore loss is X-Y".
- Nursie 4y agoExcept by all reports it’s not actually being used.
- garydevenay 4y agoThat's not true, it might not be close to being used as much as the dollar, but you are being intellectually dishonest.
- secretsatan 4y ago5% is indeed not as much as the dollar https://seekingalpha.com/news/3829164-bitcoin-usage-in-el-salvador-underwhelming-while-us-dollars-dominate-nber-survey https://seekingalpha.com/news/3829164-bitcoin-usage-in-el-sa... I think to imply that it's just "might not be close" to the use of the dollar is more dishonest than saying it's not being used
- garydevenay 4y agoGiven that my statement is factually true and the other is factually false, I'd suggest you are imposing your own bias on that.
- stefan_ 4y agoThe only currency in El Salvador is the US dollar.
- garydevenay 4y agoThat's just untrue.
- kebman 4y agoYou are correct. And the only money in El Salvador is Bitcoin.