Billionaire investor Chamath Palihapitiya forecasts that Bitcoin could surpass gold as the primary hedge against inflation in the global economy, potentially becoming the most crucial asset for wealth protection over the next 50 to 100 years.
Such a move could lead to a price surge due to Bitcoin's limited liquidity, creating a ripple effect within the cryptocurrency market.
There is optimism that institutionalisation and regulatory backing will align Bitcoin with Satoshi Nakamoto’s vision as a "P2P Electronic Cash" system by the 2030s.
De-dollarization is not only a bid for financial independence but also a strategic move towards alternative financial systems.
Analysts predict that this increase in liquidity could push Bitcoin closer to a breakout, potentially reaching new all-time highs.
The phased implementation schedule begins with stablecoin regulations effective from 30 June 2024, with full regulations operational by 30 December 2024.
The proposal remains uncertain pending the 2025 financial bill's approval, leaving investors facing an unpredictable regulatory environment.
The system would require miners to pay taxes when mined cryptocurrencies enter their wallets and impose additional taxes on any unrealised gains when these assets are sold or transferred, while allowing deductions for losses.
Despite facing opposition from the IMF, citing concerns over Bitcoin's volatility and lack of regulation, El Salvador continues to increase its Bitcoin holdings, demonstrating confidence in the cryptocurrency's long-term potential.
Cryptocurrency users face increasing threats from online scams as digital assets grow in popularity.
