Tim Draper Advises Argentinian President to Adopt Bitcoin for Economic Benefits, Peso Devaluation
Tim Draper, a well-known crypto bull and venture capital investor, was reported to meet with the president of Argentina, Mauricio Macri, recently. According to reports, he advised the head of state to legalize Bitcoin (BTC) in Argentina in order to improve the local economic situation.
The reunion happened on March 20, last Wednesday, and its focus was to discuss the economic prospects of Argentina. During the meeting, Draper told Macri about the emergence of technologies like the blockchain and how these technologies could help Argentina with its local problems, especially the devaluation of the local currency, the Argentine peso.
Draper affirmed that he proposed a bet: he would double his investments in the country if the peso would be more valuable than Bitcoin. However, if Bitcoin gained more value than the national currency, Argentina would have to declare it the national currency.
He described this as the “perfect decision”, as the government severely lacked confidence that Bitcoin is going to be successful in the future.
The venture capitalist also affirmed to the local media that the blockchain is the greatest revolution in the century and that it is even a bigger innovation than the internet actually was. According to him, the time to start using the technology is right now, so he urged the president, the banking institutions in Argentina and the commerce to use it.
He also affirmed that he continues to have a very bullish stance on Bitcoin at the moment. Despite the prices of BTC dropping recently, he still believes that Bitcoin will reach a price of at least $250,000 USD between 2022 and 2023.
Draper’s main argument is that Bitcoin will skyrocket in price as soon as people are really able to use it like they do with fiat currency. Since the token is decentralized and open, people would obviously choose it. He also affirmed, in a very polemical note, that
“only criminals would use fiat currency five years from now”.
Argentina and Bitcoin
Despite the lack of trust from the government, it is fair to say that Bitcoin is very well accepted in Argentina at the moment. Several businesses have started to accept Bitcoin last year and the government has agreed to invest in several blockchain-based businesses like Binance Labs’ Latin American’s crypto exchange LatamEx.
Last month, the country even settled its first export in BTC, selling fumigation and pesticides products to Paraguay worth $7,100 USD and receiving in BTC before it was converted to the local fiat currency.