Are cryptocurrencies legitimate money or not?

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Pelicoin

If someone wanted to convince you that the earth is flat, would you believe it? Well obviously not, since we have many tangible proofs (photos, videos and advanced scientific studies that show that the earth has an oval shape) that destroy all those arguments of terraplanists.

Now passing the field of cryptocurrencies, recently has been felt with great force a campaign of disinformation and defamation of bitcoin and other cryptocurrencies, this because they recently had a drop or correction in the price which made great noise in the market. This was the same old news from people claiming that cryptocurrencies are a failure and a big investment risk.

But out of all this, what caught my attention the most was a comment made by the governor of the central bank of Nigeria, he mentioned that ***"cryptocurrencies are not legitimate money" *** And to be honest at this point in life this statement is so absurd because it seems the same made by a terraplanist claiming and defending that the earth is flat.

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BBC

But the CBN governor is not the only one nor the first one who has been so skeptical of cryptocurrencies, as we can even find that the secretary of the treasury of the United States of America thinks the same way stating that cryptocurrencies are really for criminal use or illegal activities and are extremely inefficient for transactions.

But is this true, are cryptocurrencies not legitimate money? To answer this let's look at the definition of what money is:

It is a common medium of exchange, used for the payment of goods, commodities, services, and debts.
Wikipedia

Do cryptocurrencies meet the basic requirement to make called legitimate money?

Of course they do, already has this digital era we see How they play a fundamental role in economies with a growing market and with a lot of strength that is being felt everywhere, because they can be used to pay for goods and services, buy things of daily consumption even you can pay a debt or do business with cryptocurrencies.

Another use given to cryptocurrencies is as a store of value, because like gold, cryptocurrencies in this digital era are being used massively to protect against inflation due to its exponential growth in the same way as gold or other assets would be used.

In addition, cryptocurrencies have a high security system, since they can NOT be duplicated or violate the system and all transactions made with it are recorded publicly, being this a great tool against corruption. They can also be accessed by everyone without the use of a permit, paperwork or any governmental or banking institution.

But in view of their obvious advantages, which we see are far superior to traditional money, why is there still a war declared against cryptocurrencies? Well, we could say that because of their characteristics, since they take away all the liberties that central banks and governments can take when issuing money.

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Wired

Think for a moment about all the control over economies that central banks and governments have, they decide how much to print or create digitally, who they give it to AND who they will take it away from, and we have seen this recently with what is happening in the United States and the accelerated printing of dollars to inject it and boost the economy. But what seems funniest about this whole story is that as we all know this does not benefit the common citizens at all, since all that money is going to end up in loans to those who have more, therefore the injection of money benefits those who have more and harms those who have less.

Another thing that central banks and governments mention all the time is that cryptocurrencies are a danger because they are an easy and untraceable way to finance terrorist movements or commit fraud or criminal acts.

But something that these people or banking entities do not mention in their statements is that cryptocurrencies are a thing of modern history since 2009 until now, and that currencies such as the dollar, euro, pound sterling among others.... have been around longer and it is those currencies that have been used by drug lords or drug traffickers to collect money for drug sales and human trafficking, terrorists use dollars and euros because a universal currency to buy weapons and finance their terror campaigns, and it is cash that is preferred by dealers in the cities as they are all truly untraceable..

Since if you ask the leader of the Sinaloa cartel, if he would like to be part of the crypto revolution and use bitcoin and cryptocurrencies to collect money from drug sales, obviously he is going to flatly refuse since it is very easy to get caught because all transactions are recorded and can not be erased, plus a bitcoin wallet that receives a lot of money sooner or later is going to draw attention, it is a very bad business. But cash does not have that problem.

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123RF

For these reasons and many more we can say that the accusations against cryptocurrencies have no logical basis and in this modern era anything that has value can be used to finance terrorist or illicit activities from a fistful of diamonds to a Babe Ruth trading card.

But as long as central banks and governments continue to have control over the money that people use on a daily basis they will continue to accuse cryptocurrencies of fraud and a host of other things to continue to maintain their control. But when all people will eventually wake up and see that the traditional currencies that exist in the world lack real value and constantly devalue, they will look at cryptocurrencies As a superior and stronger currency with many benefits, then we will slowly see How banks and government lose control and influence over economies and over people. Then there finally everyone will realize that cryptocurrencies are a totally legitimate money and far superior to traditional money.

Posted Using LeoFinance Beta



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