So, as it turns out, people are trying to get all of their money out of the banks in Greece. We suspected this might happen.
Everyone in the Bitcoin community is saying these people should convert to Bitcoin. Is that an option at this point? How can they get it if all they have is a currency that people increasingly do not want? There is a certain lack of fungibility in the Euro system; where it is obvious that a Euro was made for a certain country. This does not make it unusable in other countries, but if the whole country were to exit the Euro, then the Greek Euros might quickly become worthless anywhere. Thus, would people want to accept these particular Euros in exchange for Bitcoin they can’t get back? Seems a risky proposition.
So when people suggest that the Greeks should switch to Bitcoin, they have to consider the methods that the Greeks could use at this point. Most of them would involve using their banks, which seem to become just about functionally useless soon. People have been withdrawing their funds at an alarming rate in recent times, perhaps with the goal of getting their money into their hands. While this might be a good idea in the short term, as said earlier, if the Greek Euros were to be broken from the Euro system, then they would lose their value quickly. A new currency would have to be developed.
Also read: Grexit More Likely After IMF ECB Push Greece Too Far, Will We
Originally appeared at: https://www.cryptocoinsnews.com/greek-bank-run-real-bitcoin-option/
The Greek Bank Run is Real – Bitcoin an Option? is a story from: BitcoinWarrior.net