Developing countries will soon follow in El Salvador’s footsteps and make Bitcoin (Bitcoin) Fiat currency, BitMEX CEO Alexander Höptner recently predicted.
“My prediction is that by the end of next year, we will have at least five countries accepting Bitcoin as legal tender. They will all be developing countries.”
According to Höptner, developing countries will adopt Bitcoin faster due to three main factors, including growing demand for cheaper and faster international remittances, massive inflation and political issues.
Höptner said that, in contrast to consumers in more developed countries, people in developing economies are more vulnerable to issues related to cross-border payments and inflation.
The CEO pointed out that remittances accounted for 23% of El Salvador’s GDP in 2020, while the World Bank estimates that low- and middle-income countries receive approximately 75% of global remittances. He added that people around the world are increasingly viewing Bitcoin as a solution to combat massive inflation, citing the rapid adoption of cryptocurrency in Turkey at an inflation rate of 19.2%.
Höptner continued to say that El Salvador’s Bitcoin initiative will make it easier for other countries to consider similar initiatives. “But if politics will play an important role in the adoption of Bitcoin as fiat currency, any failure of these leaders in the implementation phase could harm the widespread adoption of cryptocurrency,” he added.
As the former CEO of the German Stock Exchange Stuttgart Stock Exchange, Höptner took over as CEO of BitMEX in December 2020, succeeding Arthur Hayes.
Hoptner is not the only one who believes that more countries will follow El Salvador’s adoption of Bitcoin. last month, Cardano founder Charles Hoskinson predicts More countries adopt cryptocurrency.Edward Snowden, the world-renowned computer programmer Believe So that “the latecomer will regret it if he hesitates.”
Some major figures in the cryptocurrency field have been reluctant to praise the adoption of cryptocurrency initiated by the President of El Salvador, Nayib Bukele. On October 8, the co-founder of Ethereum Vitalik Butrin Criticized Bukele’s Bitcoin approach, debate Forcing companies to accept certain cryptocurrencies “is contrary to the ideal of freedom that should have been so important in the field of encryption.”