2 sats \ 6 replies \ @cryptocoin 5 Jul 2022 \ on: Are Bitcoiners too uncritical of El Salvador and Nayib Bukele??? bitcoin
There id no proof that the dollars in the app are actually backed by dollars.
Correct. Just like with a bank, or with a custodial exchange, what you are seeing in the app is a ledger entry of an IOU from a custodian.
The dollars can be withdrawn from a Chivo ATM and that gives all (including the unbanked) a chance to not have to trust Chivo for more than a small period of time.
I can't say with certainty what the best approach is, but transparency with the funds would definitely not hurt.
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25 sats \ 5 replies \ @kilianbuhn 5 Jul 2022
So why are Bitcoiners supportive of this? We shouldn't be.
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2 sats \ 0 replies \ @cryptocoin 5 Jul 2022
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20 sats \ 1 reply \ @servandofinn 5 Jul 2022
No one has to use the Chivo app. I'm not sure why this is even a topic of discussion. It would be like saying that the US dollar is a failure because of the mismanagement of the Venmo app.
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25 sats \ 0 replies \ @tomlaies OP 6 Jul 2022
If they give away free fake money in the Chivo app.
That would be like saying the Herbalife Ponzi Sheme wasn't a bad thing because nobody was had to use it.
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0 sats \ 0 replies \ @cryptocoin 5 Jul 2022
There is no mandate that anyone actually use bitcoin. As legal tender, merchants are by law required to accept bitcoin for payment (given they have the technology to accommodate that ... which excludes everyone but the largest vendors), but they are not required to hold bitcoin, and conversion to fiat is not expensive.
I suspect your issue is more with Bukele than Chivo.
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0 sats \ 0 replies \ @cryptocoin 5 Jul 2022
I speak for nobody but myself.
I SUPPORT MOVING OFF OF CENTRAL BANK MONEY AND INTO BITCOIN --- EVEN IF THERE ARE DICTATORS WHO ALSO ARE PUSHING FOR THAT
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