Jurrien Timmer: adoption of bitcoin by El Salvador is “a little bit overplayed”

Syed AhadWeb Editor

09th Sep, 2021. 07:16 pm
Jurrien Timmer

Bitcoin move of El Salvador is “a little bit overplayed” Fidelity Investments director Jurrien Timmer stated.

El Salvador’s adoption of Bitcoin (BTC) as legal tender is broadly famous across the cryptosystem, but one expert believes the rank of the rollout was a little bit overstated.

“Because it’s not like El Salvador has dropped the U.S. dollar as its peg,” Jurrien Timmer clarified. He further said, “It’s not like it switched from dollars as its currency peg to Bitcoin.”

Repeating that the country still has the dollar and individuals can choose to be salaried in dollars or pay in dollars, he further said that the acceptance is on a voluntary basis.

But, paying in Bitcoin is voluntary in El Salvador, local merchants in the country are instructed to accept and process BTC transactions.

Timmer noted that Bitcoin is being verified, for the first time, as a medium of exchange is different from a store of value.

The Fidelity exec likened Bitcoin’s present moment to an “adolescent’s coming of age” like gold was in the 1960s:

“Although it’s in reverse; because gold went from being money to being an asset class in the seventies. Bitcoin is trying to go from being asset class to also being a currency or being money.”

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