Re:El Salvador's Bitcoin use grows but headaches persist
by jcranmer on Thursday October 07, 2021 @05:27PM
(#28792311)
Ostensibly, the purpose of adopting Bitcoin is to make possible remittances with lower fees.
This immediately raises the question of why not establish or partner with another bank that would allow lower fee remittances, and instead partner with a shadow bank to do so. And the most reasonable answer, to me at least, is that by using a shadow banking mechanism, they'd evade (international) inspection, which would allow them to potentially skim money out of ordinary El Salvadoran bank accounts.
This immediately raises the question of why not establish or partner with another bank that would allow lower fee remittances, and instead partner with a shadow bank to do so. And the most reasonable answer, to me at least, is that by using a shadow banking mechanism, they'd evade (international) inspection, which would allow them to potentially skim money out of ordinary El Salvadoran bank accounts.