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When El Salvador adopted Bitcoin as legal tender two years ago, the IMF was scathing of the move, and warned of dire consequences. Two years later and El Salvador is flourishing.
IMF against decentralisation
Max Keiser, pro Bitcoin entrepreneur, now living in El Salvador, was interviewed on the Swan Bitcoin YouTube channel, where he gave his thoughts on the IMF and how El Salvador is on a much better path.
Keiser started by saying that in his view the IMF was akin to a central bank, and that central banks do not like decentralised money, and that the IMF does not like the idea that El Salvador can adopt Bitcoin and decentralise itself away from the fiat monetary system.
Years of US exploitation
Keiser quoted John Perkin’s book “Confessions of an Economic Hitman” which tells of US-backed hitmen who he claims were out to instigate coups and topple governments.
He said that the US always looked upon Latin America as its own “backyard” and that it was there to be controlled with the help of huge multinational corporations such as the United Fruit Company which heavily exploited the countries in which they were based.
Keiser said that since Bitcoin came into being with its decentralised and sound money, it was putting central banks out of a business that has been perpetuated for 300 years and would end up making them extinct, and in the process also make the IMF irrelevant.
El Salvador’s energy program
One of the biggest excuses for detractors maligning Bitcoin is its heavy use of energy for its proof-of-work consensus. However, Keiser explained how El Salvador will use geothermal energy to supply the power for Bitcoin mining.
Nevertheless, the lead time for developing such an infrastructure is around five years, therefore the country is developing its wind and solar plants to help fill in the gap until volcano power is fully harnessed and online. $1 billion was raised for this project, of which $250 million has already been allocated.
Keiser talked of how in the future countries will compete to provide the Bitcoin hashrate, and how El Salvador was the only country in the world to have a pro-Bitcoin mining policy right now.
The IMF and central banks across the world should be very worried. Financial technology has moved on and will leave all these legacy financial institutions in the dust of yesterday.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.