Crypto and Resistance – By inventing Bitcoin (BTC), Sataoshi Nakamoto provided the world with the perfect example of a digital currency that is both decentralized and censorship-resistant. Although some cryptocurrencies do not excel as much in these areas as this initial model, they are sufficient to allow restrictions to be circumvented.
A crypto to the rescue of rulers stripped of power
As we mentioned a few days ago, the Myanmar national unity government a du resort to using USDT stablecoin to bypass restrictions affecting this organization. Indeed, a new military coup took back power in ex-Burma.
Even if this reason was not clearly invoked, this “phantom” government (because it was stripped of the exercise of power) chose this stablecoin du dollar American like official currency.
Unlike other cryptocurrencies, however, the USDT is hatched and issued by a private company, Tether, which belongs to the group iFinex – group which also includes the exchange Bitfinex.
The Tether company therefore wanted react officially in a forum for the decision of the Myanmar government of national unity, in strongly supporting this initiative !
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USDT to become Myanmar’s national currency
Before his statement, Tether recalls that of US dollar – which is backed by its stablecoin – remains a relatively reliable, especially compared to other fiat currencies including l’inflation is devastating for the economy and citizens.
Likewise, Tether exposes that the presence of the USDT on decentralized blockchains – like Ethereum (ETH) in particular – allows to maintain a certain level of anonymity (or rather pseudonymity) and therefore respect for private life. Without the possible intervention of an intermediary censor (even if in truth, here, Tether can potentially censor transactions!).
It is after these (questionable) reminders that Tether explains why the Burmese authorities would be right to make the USDT a national currency full-fledged:
“The government of national unity (…) is led by Aung San Suu Kyi, winner of the Nobel Peace Prize (…) This party has also been recognized by the European Union. The fact that he chose to recognize the USDT as the official currency is a praise of the strength of the US dollar (…) The scope of this decision goes far beyond the potential of cryptocurrencies to provide financial security, but highlights the long-standing trust in the US dollar for those who do not trust their own governments or national currencies. “
In short, and even if the USDT would not have never existed without Bitcoin and cryptomonanies like Ethereum, all the credit would go… to the US dollar!
The problem is that, like all State paper money, the dollar can experience inflation depending on the Monetary Policy of its central bank. And the latter worry more and more in the USA, making fear a risk of hyperinflation, even within the largest American banks, such as Goldman Sachs.
While USDT may have some of the inherited advantages of Bitcoin, such as fast over-the-counter transactions anywhere around the planet, it is still much more fallible. On the one hand, by the controversial acts of its issuing company – with a fractional dollar reserve long hidden -, and on the other hand by its backing to the dollar, subject to the actions of central bankers. No, in the end, El Salvador most certainly made a better choice with Bitcoin as its national currency.
The time for state interest in Bitcoin and cryptocurrency has come. And you, what are you doing to prepare for the future? Start to familiarize yourself with this exciting world, and don’t wait any longer for you create an account on Binance, the benchmark Bitcoin and crypto exchange (affiliate link).