CryptoPotato
CryptoPotato
  • Crypto News
  • Margin Trading
  • Guides
    • Bitcoin & Crypto Guides 101
    • Bitcoin For Beginners
    • Editorials
  • DeFi & NFT
  • Buy
  • Language
  • Crypto News
  • Bitcoin For Beginners
  • Cryptocurrency Guides 101
  • Editorials
  • Bitcoin & Crypto Margin Trading
  • DeFi & NFT News
  • Bitcoin Price Analysis
  • CryptoPotato Crypto Fund
  • Ethereum (ETH) Price Analysis
  • Ripple (XRP) Price Analysis
  • Market Updates
  • Interviews
  • Buy Bitcoin with Card
  • Market Updates
  • BTC Analysis
  • ETH Analysis
  • XRP Analysis
  • Interviews
  • Opinions
CryptoPotato
CryptoPotato
  • Crypto News
  • Margin Trading
  • Guides
    • Bitcoin & Crypto Guides 101
    • Bitcoin For Beginners
    • Editorials
  • DeFi & NFT
  • Buy
  • Language
  • Crypto News
  • Bitcoin For Beginners
  • Cryptocurrency Guides 101
  • Editorials
  • Bitcoin & Crypto Margin Trading
  • DeFi & NFT News
  • Bitcoin Price Analysis
  • CryptoPotato Crypto Fund
  • Ethereum (ETH) Price Analysis
  • Ripple (XRP) Price Analysis
  • Market Updates
  • Interviews
  • Buy Bitcoin with Card
Home » Crypto News » BitMEX CEO Gives Three Reasons Why Five Countries Could Legalize Bitcoin in 2022

BitMEX CEO Gives Three Reasons Why Five Countries Could Legalize Bitcoin in 2022

Author: Dimitar Dzhondzhorov

Last Updated Oct 9, 2021 @ 17:29

Remittances, inflation, and politics: those are the three reasons why more nations could follow El Salvador’s move next year.

El Salvador’s decision to officially make bitcoin a legal tender inside its borders has caused some controversy.

While some locals expressed their dissatisfaction, many prominent names such as Michael Saylor praised the move as “extraordinary” and “world-shaking.”

The world is yet to find out whether this would turn out to be the beginning of a successful monetary revolution or another attempt from a top political figure who aims to win power and support.

In a recent blog post, Alexander Höptner – Chief Executive Officer of the cryptocurrency derivatives exchange BitMEX – placed himself next to those who believe this could be a highly beneficial initiative.

The executive said he is not surprised that all those heading the current financial system, such as the World Bank, Moody’s Investors Service, and more vigorously attacked El Salvador. However, “what the critics fail to recognize is that developing countries like El Salvador are leading the world in embracing decentralized digital currencies and payments,” Höptner added.

Moreover, he predicted that at least five developing nations would follow this experiment in 2022. And here are the arguments.

Remittances

A substantial percentage of people coming from countries like El Salvador work abroad to send funds to their relatives and thus provide a better lifestyle for them back home. And while leading money service companies are “ripping people off” with high charges and slow transactions, bitcoin “with its near-negligible fees and quick 24/7/365 transactions” could be the best solution to the problem, according to Höptner.

This is not the first time when BitMEX’s CEO compares digital assets and traditional finance. In a recent interview for CryptoPotato, he said the developments that are going on in the crypto field are happening at a “much faster pace:”

“What we’ve seen happen in the traditional financial world in the past 30 years happened in 2 years [in the crypto industry].”

Alex-Hoeptner-Headshot
Alexander Hoptner, Bitmex CEO. Image by: RYT9

Inflation

The next reason that Höptner gave is the risk of rising inflation after the consequences of the COVID-19 pandemic. It goes without saying that developing countries would struggle much more than advanced economies. And when inflation starts shaking the financial network, people usually seek alternatives to fiat currency such as bitcoin. As proof to that statement, BitMEX’s CEO pointed out to Turkey:

“As inflation climbed well above 15 percent this year in Turkey, crypto adoption surged. Turkey responded by quickly banning the use of crypto for goods and services, but inflation is now at 19.25 percent.”

Many other prominent names also stood behind the idea that the primary cryptocurrency can be a successful hedge against economic crisis. Billionaire Paul Tudor Jones III and Dawn Fitzpatrick are some of those who believe bitcoin’s maximum cap of 21 million coins can be the best instrument against the mass printing that central banks have executed recently.

Politics

Bitcoin is not only a digital currency. It is also a technology, a store of value, and according to many – a representation of the future financial system. As such, politicians will have an interest to position themselves as “progressive, populist, and new age thinkers” if they decide to make it an official means of payment, stated BitMEX’s CEO.

Despite being a supporter of such an initiative, Höptner warned that top politicians might increase their popularity not because of what they have achieved throughout their work but because of bitcoin:

“This won’t be a love letter to President Bukele of El Salvador, who is staking his political future on the successful rollout of this policy. I support the policy, of course, but I think there’s long-term risk in giving too much credit to individuals in the crypto space.”

Subsequently, he opined that if a politician who plays a significant role in the adoption of BTC fails as a leader, this might automatically hurt the image of the leading digital asset.

SPECIAL OFFER (Sponsored)
Binance Free $100 (Exclusive): Use this link to register and receive $100 free and 10% off fees on Binance Futures first month (terms).

You Might Also Like:

  • BitcoinPayments
    El Salvador's Largest Bank Will Support Bitcoin for Loans, Credit Cards and Other Services
  • el-salvador-btc
    Massive Anti Bitcoin Protests Fill The Streets of El Salvador
  • BitcoinElSalvador
    Ahead of the Bitcoin Law: El Salvador Votes in Favor of $150M BTC Trust
Tags: Bitcoin BitMEX El Salvador
Enjoy reading? Share with your friends
Facebook Twitter LinkedIn Telegram

About The Author

Dimitar Dzhondzhorov
More posts by this author

Dimitar got interested in cryptocurrencies back in 2018 amid the prolonged bear market. His biggest passion in the field is Bitcoin and he was fascinated with its journey. With a flair for producing high-quality content, he started covering the cryptocurrency space in late 2018. His hobby is football.

  • bitcoin
    BTC$44,101.00
  • ethereum
    ETH$2,353.36
  • Join Our Community

    FacebookX YouTubeTelegram


    Editorials
    Real-World Assets: Crypto’s Latest Big Buzz – But is it Truly Here to Stay? (Op-Ed)

    Real-World Assets: Crypto’s Latest Big Buzz – But is it Truly Here to Stay? (Op-Ed)

    Could the Blockchain Disrupt Big Data in the E-commerce Industry?

    Could the Blockchain Disrupt Big Data in the E-commerce Industry?

    Binance’s New CEO Richard Teng: The Key Factors That Will Drive Mass Adoption in 2024 (Interview)

    Binance’s New CEO Richard Teng: The Key Factors That Will Drive Mass Adoption in 2024 (Interview)

    How Bitcoin Can Be a Lifeboat for People in Third World Countries: Interview with Ledn’s Mauricio Di Bartolomeo

    How Bitcoin Can Be a Lifeboat for People in Third World Countries: Interview with Ledn’s Mauricio Di Bartolomeo

    What 600 Startup Applications Tell About Blockchain & AI in 2024

    What 600 Startup Applications Tell About Blockchain & AI in 2024

    Bitcoin, Security, and the Future of Crypto: Interview with Jameson Lopp (Bitcoin Amsterdam 2023)

    Bitcoin, Security, and the Future of Crypto: Interview with Jameson Lopp (Bitcoin Amsterdam 2023)

    Zero-Knowledge (ZK) 101: Everything You Need to Know About ZK Proofs

    Zero-Knowledge (ZK) 101: Everything You Need to Know About ZK Proofs

    Join Our Newsletter
    Become a CryptoPotato VIP
    One Weekly Email Can Change Your Crypto Life.
    Sign-up FREE to receive our extended weekly market update and coin analysis report
    We NEVER send spam. You can unsubscribe at any time.
    Invalid email address
    Thanks for subscribing!
    Footer Logo
    About
    Advertise on CryptoPotato
    About Us | Contact Us | Careers
    Editorial Policy
    Terms of service | Privacy Policy | GDPR
    More Sections
    IEO List | Evaluations
    Airdrops
    Scholarship
    Disclaimer
    Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. Full disclaimer
    © Copyright CryptoPotato 2016 - 2021
    Scroll to top
    One Weekly Email Can Change Your Crypto Life.

    Sign-up FREE to receive our extended weekly market update and coin analysis report

    We never send SPAM. You can unsubscribe at any moment
    Invalid email address
    Thanks for subscribing!