While the technology to own and manage digital money is a great achievement, one can not take away the importance of local currency to the survival of these cryptocurrencies. For now, it seems the survival of these cryptocurrencies depend to some extent on local currency. Just relax, read on and try to understand.
For one thing, bitcoin can’t be used to purchase local food items or buy food from canteen. The transaction fee alone won’t let local users sell/buy small amount of goods. This means that, all Bitcoin investors at some point will need bitcoin converted to local currency (local money) before it can be used.
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Another reason why local currency is important to the survival of these cryptocurrencies is that, the worth and market prices of these cryptocurrencies are calculated in local currency. In a sense, cryptocurrencies don’t have that monetary value as local currency.
Will there come a time when workers will be paid with cryptocurrencies like bitcoin? I can’t say for sure but note that local laborers, local sellers of water and roadside sellers of goods and services can and will only accept fiat for their services and not cryptocurrency.
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Bitcoin and the Altcoins are very good achievement in this modern day, but no one should throw away the importance of fiat to these cryptocurrencies. Follow us on our social media platforms for latest updates. Use the icons in the website to easily follow us online.