Can Bitcoin Become a Legal Currency?

harsh

Countries like El Salvador have allowed Bitcoin payments. Will it ever replace legal currency?

gautam

It is impossible that Bitcoin will ever replace legal currencies because fiat gives power to a government to control it. Moreover, there is not enough Bitcoin to even replace the legal currency of a single decent size economy.

gopal

Yes, it is possible and can happen in the near future soon. Lately, Robert Kennedy, the US Presidential candidate, has declared that he would back the US Dollar with Bitcoin if elected. By doing so, he would make Bitcoin a legal currency.

gulab

Bitcoin would be allowed for payments in the future but would not become a legal tender. See, a legal tender or currency has some power. No seller or party can refuse transactions in a country’s legal tender. If they do so, they could be arrested and jailed. However, making Bitcoin a legal currency would not work because of several reasons:
It is difficult to understand for most people.
Bitcoin’s native network has high transactions cost.
Not many shops accept Bitcoin for payments because its value fluctuates too often.