Re:Dutch official calls for complete ban on Bitcoin
by ludamad on Friday June 11, 2021 @08:32AM
(#27472405)
It's also a bit ill-timed as Bitcoin is "now a fiat currency", if you go by El Salvador's wiki page
Re:Dutch official calls for complete ban on Bitcoin
by phire on Friday June 11, 2021 @08:59AM
(#27472690)
That makes it "Legal Tender" in Salvador, but not fiat.
It's a bit of a weird situation. Normally when a currency is legal tender and not fiat it's backed by a physical resource, like gold or silver.
But here it's only backed by software and people agreeing that it has value. Kind of puts bitcoin in its own unique category.
Re:Dutch official calls for complete ban on Bitcoin
by bidirectional on Friday June 11, 2021 @10:02AM
(#27473454)
A fiat currency is issued by a government without being backed by a physical commodity. El Salvador's adoption of Bitcoin does not make it a fiat currency.
Re:Dutch official calls for complete ban on Bitcoin
by imtringued on Friday June 11, 2021 @10:06AM
(#27473507)
I think this is in reference to a US law that states that a "currency" adopted by a foreign country is not classified as an asset but as a currency. This has tax implications but I don't know the details.
Re:Dutch official calls for complete ban on Bitcoin
by wsc981 on Friday June 11, 2021 @08:54AM
(#27472620)
> It's also a bit ill-timed as Bitcoin is "now a fiat currency", if you go by El Salvador's wiki page
It's probably timed right now by the Dutch CPB because El Salvador accepted BTC as a fiat currency.
I want to see blockchain gone but most legislators don't understand it, they think it should be gone but they are not sure why so they end up with nonsense like this.