Bitcoin is no longer legal tender in the Central African Republic

[Riberet19]

A few days ago, the Central African Republic stopped using Bitcoin as one of its legal tender currencies, all this after promoting its currency, the Sango coin, classified by many as a shitcoin, and also pressure from some banks related to the central African countries, the fact is that the legislation regarding BTC as legal tender in the territory has not lasted even a year, what do you think of this news?

 

[Bisolami]

A few days ago, the Central African Republic stopped using Bitcoin as one of its legal tender currencies, all this after promoting its currency, the Sango coin, classified by many as a shitcoin, and also pressure from some banks related to the central African countries, the fact is that the legislation regarding BTC as legal tender in the territory has not lasted even a year, what do you think of this news?

Well, it is not really a good news to me but at the same time, I hope they accept BTC as a legal tender again.

 

[Riberet19]

Well, it is not really a good news to me but at the same time, I hope they accept BTC as a legal tender again.

some testify that it is because of the difficulty of people in the Central African Republic to interact with Bitcoin outside the capital due to the lack of internet and electricity, but this is something that will be replicated with Sangocoin so it does not make much sense.

 

[Salt]

I think most economies are scared to accept these as legal tender as they feel it will negatively affect the value of its currency

 

[Riberet19]

I think most economies are scared to accept these as legal tender as they feel it will negatively affect the value of its currency

But honestly I do not see it feasible for now either to turn it into a local currency to a currency that falls 77% from its historical maximum, this should be done when it is more stable.

 

[Bisolami]

I think most economies are scared to accept these as legal tender as they feel it will negatively affect the value of its currency

A lot of people are scared because it is a volatile currency and it may affect the economy sometimes

 

[Nomad]

There is a lot of risk associated with bitcoin as a legal tender. About a week, bitcoin was $30K, and now it is $26K. The price has dropped by $4k. IN a situation like this individuals, businesses, or even the government will lose a lot of money. I do not think poor or medium economy can sustain Bitcoin as a legal tender. However, I do believe that Bitcoin can be used for international trade as well as reserve currency.

 

[Riberet19]

There is a lot of risk associated with bitcoin as a legal tender. About a week, bitcoin was $30K, and now it is $26K. The price has dropped by $4k. IN a situation like this individuals, businesses, or even the government will lose a lot of money. I do not think poor or medium economy can sustain Bitcoin as a legal tender. However, I do believe that Bitcoin can be used for international trade as well as reserve currency.

It also depends on how much money you invest in Bitcoin, if you use only a very small part of the state funds, I do not think it has to influence too much in the economy of the country, the problem is if you invest too much and omit the risk factor that Bitcoin has as an investment and as a possible exchange currency, if governments know how Bitcoin acts and how they can multiply their investment in the future, It makes no sense to risk more than 0.5% of the funds actually available.

 

[Nomad]

It is said that the US government has invested in Bitcoin. I think using Bitcoin as a reserve currency can be good for the economy as Bitcoin will continue to grow in the future and the bear market is tenmporary thing, but using as a payment form has a oot fo risks.

 

[Ja Sa Bong]

It's probably because of the volatility of cryptocurrency (Bitcoin) which led them to make the decision. They must have lost big amount of money they invested in Bitcoin which they won't be able to recover quickly. To prevent further damage, the government have to make the decision.