Recently the famed whistleblower Edward Snowden tweeted that “Today Bitcoin was formally recognized as legal tender in its first country. Beyond the headlines, there is now pressure on competing nations to acquire Bitcoin—even if only as a reserve asset—as its design massively incentivizes early adoption.”
What he is speaking about is something the Bitcoin community has long thought of as a turning point moment when Countries will be forced to buy into the Crypto currency in order to prevent being outcompeted by each other.
Think of it this way: If Russia and China start buying and hoarding Bitcoin, the USA and Europe will be forced to do the same. A new kind of space race will begin, but the only thing that will be going to the moon; will be crypto. This is the “theory” that Snowden is tweeting out about because of the historic adoption of Bitcoin as legal tender by El Salvadore. Whether or not this happens is debatable.
The other side of the argument is that countries will rush to ban and penalize those who use it before they ever try to buy large amounts of it. Interestingly enough, this has yet to happen. One would assume that if Countries were going to ban it they would’ve done so by now. This leaves the common investor to wonder what the future holds for Crypto if Snowden is actually correct in his assessment.
If so, the future looks very bright indeed.