News for hackers. Stuff that matters.

A comment on MasterCard to open up network to cryptocurrencies. Parent comment

Re:MasterCard to open up network to cryptocurrencies by wonderwonder on Thursday February 11, 2021 @09:33PM (#26110162)
This is an accurate statement when approached from a top down nation / state level. Approached from the level of an average person living in countries with highly volatile currencies, they just want a currency that is not reliably going to be less than it was the day before. It allows those people the opportunity to detach from the issue of "poor governance" over which they have no control and gives them some independence from it.

This is especially true for refugees. They run the very real risk of being killed for any money they are carrying but if one has one's keys memorized then no one knows you have funds and you are somewhat safer.

Over 1/3 of the world's population lives in countries with declining or unstable democracies, crypto currencies provide a small cushion from that in some situations.

[ Parent | on HN ]
Re:MasterCard to open up network to cryptocurrencies by simiones on Friday February 12, 2021 @08:32AM (#26113415)
If the economy is not working, people won't get the value they are used to. This can essentially be handled in 2 ways:

1. Inflation, which means that everyone is getting the money they are owed, but can't do as much with them

2. Defaults/bankruptcy/breach of contract - people and businesses just run out of money and stop paying their debts

If your country can print money, you will be in situation 1. If your country can't print money (e.g. because it is using BTC or USD or Euros or whatever currency they can't control), then you'll be in situation 2.

I for one prefer situation 1, because there is a chance of recovery from there, and normal life can go on somewhat naturally.

[ Parent | on HN ]
Re:MasterCard to open up network to cryptocurrencies by wonderwonder on Saturday February 13, 2021 @02:56AM (#26122130)
This is a fair point. I have never seen btc taking the place of a nations money. Rather I see it as an alternative means of storing value that can also be used as a means of exchange independent of the monetary supply. BTC will always be measured in dollars/euros/etc.
[ Parent | on HN ]