• Send Us A Tip
  • Calling all Tech Writers
  • Advertise
Friday, June 13, 2025
  • Login
  • Register
TechStory
  • News
  • Crypto
  • Gadgets
  • Memes
  • Gaming
  • Cars
  • AI
  • Startups
  • Markets
  • How to
No Result
View All Result
  • News
  • Crypto
  • Gadgets
  • Memes
  • Gaming
  • Cars
  • AI
  • Startups
  • Markets
  • How to
No Result
View All Result
TechStory
No Result
View All Result
Home Crypto Bitcoin

Steve Hanke warns collapse of economy after BTC adoption

by Reshab Agarwal
June 21, 2021
in Bitcoin, Crypto, News, Trending
Reading Time: 3 mins read
0
El Salvador president tweets
TwitterWhatsappLinkedin

Steve Hanke, a renowned economist, warns El Salvador about economic collapse. He mentions if they adopt bitcoin as their primary payment method, it will be a bad decision. Also, Hanke is a professor at Johns Hopkins University, teaching Applied Economics. Additionally, he has been criticizing the cryptocurrency as a legal tender for El Salvador.

You might also like

CRED Raises ₹617 Crore as Valuation Drops 45% to $3.5 Billion

Bitcoin’s Next Frontier: Michael Saylor Predicts It’s Not Zero—It’s $1 Million

TRUMP Meme Coin Bleeds $50M Daily After Star Studded VIP Dinner

Who is Steve Hanke?

Hanke is one of the most influential people in the world, according to World Magazine, 1998. And he takes the economy of countries very seriously.  With his student, Kurt Schuler, Hanke came up with a currency board package. And his proposal works in different countries. So, the countries are Argentina, Albania, Bulgaria, Estonia, Lithuania, Bosnia, Indonesia, Montenegro, Ecuador, Yugoslavia, Herzegovina, and a few more.

Wondering how a currency board works?

The management who looks over exchange rates and money supply reports to the monetary authority. And after that, the same authority decides on the valuation of a particular country’s currency. The currency board also earns interest from foreign reserves.

Hanke and his theories on cryptocurrencies

After coming up with nations suffering from hyperinflation, Hanke proposes that the countries either adopt USD or make their own currency board. And, according to his findings, he says currency boards deliver lower inflation rates, lower debt levels, and many more advantages. Moreover, these results are better than gross domestic product and other policies by the central bank. So Steve means that it’s better to rely on a currency board than the central bank.

Economist Steve Hanke Warns Salvadoran Bitcoin Adoption Could ‘Completely Collapse the Economy’
Image source: coinnounce

The above discussion about the currency board was 3 years back, and now his main concern is about Bitcoin. Hanke worries that the widespread of adopting bitcoin can affect the economy adversely. So he tweets that bitcoin lovers think that it is all good and don’t understand its flaws. He then mentions that cryptocurrencies could be the future of finance, but that doesn’t mean only Bitcoin.

After Hanke comes up with his own article, he mentions that bitcoin has a fundamental value of zero. The economist stands completely against El Salvador’s plans on bitcoin. Hanke once again says how a simple cryptocurrency can damage the economy entirely. So, he also mentions that China or Russia could easily use El Salvador to cash out, and they can easily remove USD.

Bitcoin is legal tender in El Salvador. What does it mean for the broader crypto market? Some bulls think 'it could be huge' - MarketWatch
Image source: MarketWatch

Hanke portrays his further concerns like the country El Salvador doesn’t even have their domestic currency. And no one is going to pay for their taxi ride with bitcoin. Would you? Moreover, only 30% of people in El Salvador have bank accounts. Some took it as serious concerns, and some bashed him on Twitter by saying bitcoin doesn’t have any restrictions and will save weak economic countries.


What are your thoughts on Steve Hanke’s comment? Let us know in the comment section below. If you like our content, don’t forget to share it with your friends and family.

Also Read: Titan Token falls from $60 to $0 in under 24 hours

Tweet54SendShare15
Previous Post

Blockchain company HIVE approved for NASDAQ listing

Next Post

In Interview with Snneha Lukaa Co-Founder BabyReady

Reshab Agarwal

Reshab is a tech-enthusiast who likes to write about all things crypto. He is a Bitcoin bull and believes in a decentralized future of finance. Follow him on Twitter for more!

Recommended For You

CRED Raises ₹617 Crore as Valuation Drops 45% to $3.5 Billion

by Rounak Majumdar
June 13, 2025
0
CRED Raises ₹617 Crore as Valuation Drops 45% to $3.5 Billion

CRED, the Bengaluru-based fintech unicorn renowned for its credit card payment platform, has closed a fresh funding round of ₹617 crore (approximately $72 million). However, this new capital...

Read more

Bitcoin’s Next Frontier: Michael Saylor Predicts It’s Not Zero—It’s $1 Million

by Anindya Paul
June 13, 2025
0
Saylor

Introduction In a bold statement on Bloomberg TV on June 10, 2025, Michael Saylor, co-founder and executive chairman of Strategy (formerly MicroStrategy), declared that Bitcoin has passed its...

Read more

TRUMP Meme Coin Bleeds $50M Daily After Star Studded VIP Dinner

by Anindya Paul
June 12, 2025
0
TRUMP

Since hosting a glamorous VIP gala for top holders of his Official Trump (TRUMP) meme coin on May 22, Donald Trump’s cryptocurrency venture has suffered significant financial losses. In...

Read more
Next Post
Snneha Lukaa Co-Founder BabyReady

In Interview with Snneha Lukaa Co-Founder BabyReady

Please login to join discussion

Techstory

Tech and Business News from around the world. Follow along for latest in the world of Tech, AI, Crypto, EVs, Business Personalities and more.
reach us at [email protected]

Advertise With Us

Reach out at - [email protected]

BROWSE BY TAG

#Crypto #howto 2024 acquisition AI amazon Apple bitcoin Business China cryptocurrency e-commerce electric vehicles Elon Musk Ethereum facebook flipkart funding Gaming Google India Instagram Investment ios iPhone IPO Market Markets Meta Microsoft News NFT samsung Social Media SpaceX startup startups tech technology Tesla TikTok trend trending twitter US

© 2024 Techstory.in

No Result
View All Result
  • News
  • Crypto
  • Gadgets
  • Memes
  • Gaming
  • Cars
  • AI
  • Startups
  • Markets
  • How to

© 2024 Techstory.in

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?