The dollar has the benefit of being legal tender and has the backing of the "full faith and credit" of the United States of America. In contrast, bitcoin and other crypto ledger currencies are backed by what? Computers and software code? They are accepted only by those who are willing to accept them.
In time, the most widely accepted crypto currencies will be "stablecoins" that are fully backed by and convertible dollars or gold or other reliable official currencies and are accepted and integrated into the normal banking system.
Good post.
I spent most of my career underwriting commercial mortgages—and in my view bitcoin is useless as an “asset”.
It was my job to figure out who was lying and/or trying to “fake it until you make it”.
“Bitcoin” as currently implemented has scam written all over it. Those who push it are either scammers or clueless.
Nope you don’t know how money work. You know about the laws we currently have around money. But that’s not how money works.
You need to look at the long history of money. What has been money over the millennia. Understand what all those things have in common. Understand WHY they were money.
When you do you will know that the “full faith and credit” is just another illusion piled onto it to help give people belief.
As I’ve said to you multiple times the last few days: BELIEF. That’s what give ALL money power. The only thing government backed crypto will gain is people like you. That lie will convince people who don’t understand money crypto is useful. Meanwhile, crypto is already useful.