The president of El Salvador and renowned Bitcoin proponent Nayib Bukele has predicted that a more reliable, decentralized system will eventually replace the central banking system used in current western nations.
Bukele, condemned the Federal Reserve and the media’s response to his nation’s acceptance of Bitcoin in an interview with Tucker Carlson that aired on Tuesday.
El Salvador president believes printing money is a ‘moral crime’
El Salvador President, serving since 1 June 2019, pointed out that the ability of the Federal Reserve to issue money is a “moral crime” because it debases the currency and “robs” its users of their savings due to which people will tend to adopt a decentralized and uncensorable financial structure. He stated:
“The concept of savings has been destroyed. It doesn’t make any sense to save money anymore… If you saved $50,000 [in the ’80s] then you have been robbed of 90% of your money [by] now.”
The annual CPI inflation rate in the United States was 8.2% in September, which is close to 40-year tops. Although the Federal Reserve has been raising interest rates all year to help stabilize the increase in inflation, some organizations started forcing the central bank to change direction before it sparks a global crisis.
According to Bukele, adopting Bitcoin before other nations has given El Salvador significant second-order advantages. These include almost a twofold increase in tourism, studies, private investment, and a “rebranding” away from its previous reputation as a nation with a high crime rate. In march this year, the El Salvador’s leader commented on the US’s actions on passing the Senate Foreign Relations Committee bill.
Unfortunately, some parties, especially the World Bank, Federal Reserve, and International Monetary Fund, are not fans of the country’s Bitcoin adoption. According to Bukele, traditional financial magazines like Bloomberg, CNBC, Forbes, and The Financial Times are equally guilty of disseminating “bad press, fake news, and FUD.”
The President’s prediction comes when many questions are raised on the nature of DeFi. Recently in her speech, Carolyn Wilkins doubted the decentralized finance sector with the FBI also warning people from the hackers attacking it.