I'M ABOUT TO PAY FOR THIS IN BITCOIN AT A
MCDONALD'S. BITCOIN. A BITCOIN, I DON'T KNOW WHAT SHE SAID. I'VE JUST ARRIVED TO THE FIRST COUNTRY
ON EARTH ACCEPTING BITCOIN. THIS HAIRDRESSER ALSO ACCEPTS BITCOIN. THIS IS A PHOTOGRAPHY STUDIO AND
HE IS THE OWNER AND HE'S VERY PROUDLY ACCEPTING BITCOIN. BUT IT'S NOT JUST BEING USED TO PAY.
I TRIED TO THE HALF OF MY SALARY INTO THAT. I'VE COME TO EL SALVADOR JUST MONTHS AFTER IT
BECAME NOT ONLY LEGAL BUT ENCOURAGED TOO.
THIS IS ABSOLUTELY THE MOST IMPORTANT PLACE IN THE WORLD
RIGHT NOW. 30% OF MY CLIENTS ARE BITCOINERS NOW. ITS 41 YEAR OLD PRESIDENT HAS BECOME A
CELEBRITY AMONGST BITCOIN ENTHUSIASTS, EVEN CLAIMING HE BUYS BITCOIN NAKED FROM HIS
PHONE. HE'S FLIRTING WITH CHINA AND HE'S FLIRTING WITH THE US AND HE'S FLIRTING WITH THE BITCOINERS.
IT'S GREAT THAT THE PRESIDENT LOVES TO MAKE MEMES AND STUFF BUT MEMES IS NOT EDUCATION. BUT SOME
OF THIS EXCITEMENT JUST ISN'T FULLY ADDING UP. THERE WAS A HUGE UH SCANDAL HERE IN EL SALVADOR.
THEY KNOW EVERYTHING, THEY KNOW WHERE YOU ARE. PEOPLE'S SAVINGS HAVE BEEN CUT IN HALF IN
A MATTER OF WEEKS. A WOMAN JUST CAME OUT OF THE BITCOIN ATM. I ASKED HER WHAT SHE WAS DOING,
SHE SAID SHE HEARD THAT BITCOIN WAS GOING DOWN- THAT THE PRICE OF BITCOIN IS GOING- DOWN SO SHE
WAS TRYING TO SELL SOME BITCOIN INTO DOLLARS. OUR GOVERNMENT IS BUYING BITCOIN WHICH IS
GREAT. YEAH.
BUT THERE'S PEOPLE DYING IN THE HOSPITALS BECAUSE THEY DON'T HAVE ALL THE
EQUIPMENT. I'M HERE TO FIND OUT IF BITCOIN CAN REALLY BE USED FOR OUR DAY-TO-DAY PAYMENTS.
BECAUSE IT'S THE FIRST COUNTRY TO ADOPT BITCOIN, IT'S GOING TO SET A LOT OF PRECEDENCE. AND TO
SEE IF WHAT'S HAPPENING HERE IS GOING TO BE THE BEGINNING OF THE END OF GOVERNMENT-BACKED
CURRENCIES. THE U.S DOLLAR IS GOING TO GO DOWN IF YOU UNDERSTAND HOW MONEY WORKS. OR IS THIS
JUST A MASSIVE PUBLICITY STUNT BY ITS ECCENTRIC PRESIDENT. IS THIS THE COUNTRY OF ILLEGAL TENDER
ACT LIKE IT. SEEING IT IT'S KIND OF LIKE THE DUBAI 25 YEARS AGO.
DIDN'T SEE A BIG BILLIONAIRE?
CAN WE ASK YOU A QUESTION ABOUT THE IMF? BITCOIN THEY CREATED A DOZEN YEARS
AGO AS AN ALTERNATIVE TO CASH- I COULD CARE LESS ABOUT BITCOIN, I DON'T
KNOW WHY- IS EXPLODING IN VALUE- CRAZIEST BEST INVESTMENT IN MY LIFE- EL SALVADOR COULD
BECOME THE FIRST COUNTRY IN THE WORLD TO MAKE BITCOIN LEGAL- FOR BITCOIN FACES ITS BIGGEST
TEST YET- THE DIGITAL WALLET SYSTEM HAD TO BE TAKEN OFFLINE FOR SEVERAL HOURS- MORE THAN A
THOUSAND PEOPLE MARCHED IN THE CAPITAL OF SAN SALVADOR TO PROTEST THE ADOPTION OF- AND
TWO OTHER COUNTRIES WILL APPROVE BITCOIN AS A LEGAL TENDER- I THINK THAT IT HAS THE
POTENTIAL TO CREATE THE GLOBAL NEXT WAR.
SO I SCAN THE QR CODE AND THEN I'M GOING TO
ROUND UP TO 18 AND THEN I HIT PAY SO CAN YOU CHECK? HE DOESN'T WANT TO CHECK? NO. I'VE COME TO
THE ONLY PLACE IN THE WORLD WHERE MOST BUSINESSES ARE ACCEPTING BITCOIN. IT'S COME TO BE KNOWN AS
BITCOIN BEACH. OH THIS IS JUST A BITCOIN WATCH THIS IS I PAID ABOUT 21 000 FOR THIS BECAUSE
THERE'S 21 MILLION BITCOINS TO SIGNIFY THAT THE BITCOIN IN THERE IS WHAT 100 TIMES MORE,
RIGHT? THERE'S BITCOIN HERE WITH MILLIONS SO THAT GIVES THE WATCH VALUES THE BITCOIN INSIDE
IT. IT'S HERE WHERE I MEET EVAN LUTHRA: A CRYPTO INFLUENCER WITH MILLIONS OF FOLLOWERS. AND
SINCE THE LAST FEW YEARS MY MISSION HAS BEEN TO BASICALLY PROMOTE AND GROW BITCOIN IN THE MOVEMENT
AROUND CRYPTOCURRENCIES. HE'S MADE MILLIONS SOFT CRYPTO BUT HE'S NOT REALLY INTO DOLLARS ANYWAY.
THERE'S NOT A FIAT CURRENCY THAT'S EVER SURVIVED. A FIAT CURRENCY IS BASICALLY MONEY THAT'S BEEN
ISSUED BY A GOVERNMENT.
AT THIS BEACH TOWN I FIND SOME OF THE NICEST HOTELS EL SALVADOR HAS EVER
SEEN- AN ORGANIZATION CALLED HOPE HOUSE DEDICATED TO EDUCATING PEOPLE ON BITCOIN AND I EVEN MEET
THIS SECURITY GUARD. SO YOU RECEIVED A $250 TIP IN BITCOIN. YEAH. IT'S A SHOCKING TIP ESPECIALLY IN
A COUNTRY WHERE MINIMUM MONTHLY INCOME IS AROUND 350 DOLLARS PER MONTH. BUT WHILE I'M HERE THERE'S
ONE MORE PERSON I'M HOPING TO MEET. MAX KAISER GUYS HE JUST WANTED TO HAVE THIS FACE OF BEING
AN AMBASSADOR. SOME PEOPLE THEY DON'T REALLY LIKE HIM BECAUSE IT'S PROBABLY TOO MUCH.. HERE'S
A TEN DOLLAR BILL THIS IS GARBAGE THIS IS GARBAGE, RIGHT? THAT'S GOING TO ZERO. HE'S A LIBERTARIAN,
HE'S AN AMERICAN GUY. BIG IN THE SPACE AND NOW HE'S BEEN LIVING HERE FOR THE LAST MONTH OR SO.
DESPITE ALL THE HYPE AND EXCITEMENT AROUND BITCOIN HERE, THE IMF IS URGING EL SALVADOR TO STOP THIS
BITCOIN EXPERIMENT, AND MAX SEEMS LIKE HE COULD CARE LESS.
CAN WE ASK YOU A QUESTION ABOUT THE
IMF? IT'S A GAME OVER FROM THE IMF. BY THE WAY I'M MAKING A LOT MORE VIDEOS LIKE THIS ONE ABOUT
TECH, MONEY AND DIFFERENT CULTURES. SO IF YOU'RE ENJOYING THIS VIDEO HIT THE SUBSCRIBE BUTTON SO
YOU DON'T MISS THE NEXT ONE. IT'S GAME OVER FROM THE IMF POURING ONE OUT FOR THE IMF LIKE I DON'T
THINK ANYONE'S GONNA MISS THEM THAT SCARES THE IMF THE IMF IS IN THE BUSINESS OF EXTENDING LOANS AND
WHEN THEY DON'T GET REPAID THEY EXTRACT WEALTH, SO THE BUSINESS MODEL THE IMF IS OF THE DODO OR
BLOCKBUSTER ENTERTAINMENT.
BUT ASIDE FROM THE BIG VOICES IN CRYPTO, HOW IS BITCOIN IMPACTING
LIFE FOR CITIZENS HERE? I HAVE SEEN AN INCREASE OF CLIENTS THANKS TO BITCOIN. SALVA IS A SURF
INSTRUCTOR WHO'S SEEN A LOT OF CURIOSITY OF BITCOIN AND NOW ONE IN THREE OF HIS CLIENTS ARE
PAYING IN BITCOIN. I PAY ALL MY BILLS WHATEVER I HAVE TO PAY LIKE I PAID, AND MY SAVINGS ARE
THERE, LIKE MONEY THAT I DON'T REALLY NEED, I PUT IT THERE AND I FORGET ABOUT IT, I HOLD
IT. ON ONE HAND EL SALVADOR DOESN'T MAKE SENSE TO ADOPT BITCOIN, FOR OVER 20 YEARS THEY
DITCH THEIR OWN CURRENCY FOR THE US DOLLAR, A RELATIVELY STABLE AND SAFE CURRENCY.
BUT ON
THE OTHER HAND MAYBE IT MAKES PERFECT SENSE: EIGHTY PERCENT OF ITS POPULATION DOESN'T EVEN HAVE
A BANK ACCOUNT AND THIS COULD BE AN EASY WAY TO GET YOUR POPULATION TRANSACTING DIGITALLY. BUT I'M
MOST CURIOUS: HOW DOES THIS ACTUALLY WORK? I'VE COME TO AN ATM MACHINE YOU'VE GOT YOUR TRADITIONAL
VENDING MACHINES BEHIND ME BUT THIS ONE IS TO BUY AND SELL BITCOIN AND LITECOIN. SO I'M
GOING TO BE BUYING BITCOIN AT 40 000 RIGHT NOW, THAT'S THE PRICE. IF IT SELLS TO ME IT WILL SELL
AT 35 000 AND THE ACTUAL PRICE ON THE EXCHANGE IN THIS MOMENT IS ABOUT 37 000.
WHAT I'M TRYING TO
DO HERE IS TAKE THIS $100 TO BUY SOME BITCOIN. CONFIRMATION. THERE'S MY POINT ZERO ZERO
TWO FOUR BITCOIN, THERE IT IS HOW COOL! WHAT SORRY- EVERYTHING IS PRICED
IN DOLLARS THROUGHOUT EL SALVADOR BUT OVER HERE YOU'VE GOT YOUR
BITCOIN LOGO. 755 OFF IF I USE BITCOIN BECAUSE OF THE WALLET CALLED
STRIKE. ALL RIGHT I'M READY TO PAY. IT HASN'T GONE THROUGH YET. IT'S BEEN ABOUT A
MINUTE SINCE I ATTEMPTED TO PAY ON BITCOIN AND WE'RE BOTH STILL WAITING. YEAH, UNFORTUNATELY IT'S
BEEN ABOUT OVER FIVE MINUTES AND IT'S NOT WORKING. ABOUT 30 MINUTES LATER I STILL
DON'T HAVE MONEY THAT TRANSFERRED TO MY WALLET SO THAT I COULD PAY IN BITCOIN, SO
MY FRIEND LORENZO HERE HAS AGREED TO PAY FOR MY ICED COFFEE.
DONE? WOW THAT WAS LIKE NO SECOND.
ONE DAY LATER, I FEEL A LOT MORE CONFIDENT PAYING WITH BITCOIN, IT'S ACTUALLY BECOME VERY EASY
ONCE THAT INITIAL SETUP HAS BEEN ESTABLISHED, I JUST HIT PAY I CONFIRMED THAT I WANT TO PAY 69
CENTS AND THEN IT SAYS: DONE! SHE GOT THE PAYMENT, I MADE THE PAYMENT AND I JUST PAID ON BITCOIN.
IT DOES FEEL PRETTY COOL WHEN IT ACTUALLY WORKS. IT'S ACTUALLY SUPER EASY IT'S JUST LIKE INSTANT
I OPEN THE CAMERA I SCAN THE QR CODE AND I PAY. IT'S EVERYWHERE BITCOIN MCDONALD'S! SO NO SIGN OF
BITCOIN ANYWHERE BUT LET'S SEE IF THEY'LL ACCEPT IT. LET ME GET MY WALLET READY. HOW DO I HAVE SO
MUCH BITCOIN? DID IT GO UP? WOW! THAT'S CRAZY. SO JUST YESTERDAY I I HAD $90 OF BITCOIN I
SPENT ABOUT $20 BUT THEN I LOOKED AND I SAW I HAD $103.
AND IT'S INTERESTING THIS MONEY KEEPS
GOING UP EVERY DAY I'M IN EL SALVADOR THIS MONEY IN MY WALLET I'M NOT DOING ANYTHING BUT IT'S
GOING UP, THE MONEY IN MY WALLET. I GUESS THAT'S A COOL SIDE OF USING BITCOIN, IT DOESN'T ALWAYS
HAPPEN BUT THAT REALLY TOOK ME BY SURPRISE TO PAY FOR THE BIG MAC I GOT THE OPTION
BETWEEN CASH CREDIT CARD OR BITCOIN BITCOIN UH.. BITCOIN! I DON'T KNOW WHAT SHE SAID..
SO HERE
AT STARBUCKS I SAID BITCOIN AND SHE NODDED BUT THERE'S A LITTLE BIT OF A PROCESS, SHE JUST
GRABBED THE MOBILE DEVICE. I SAID BITCOIN AND SHE HAD TO GO GET A MANAGER. THE ANSWER IS
NOT NO BUT SHE HAD TO GO ASK A MANAGER AND NOW SHE'S COMING BACK WITH A THAT'S $5.70 FOR A
BIG MAC MEAL, WHICH IS THE EQUIVALENT 2.00015391 BITCOIN NOW SHE'S COMING BACK WITH A PORTAL PRESUMABLY SO
I COULD PAY I JUST PAID FOR A BIG MAC WITH BITCOIN JUST LIKE THAT FIRST MCDONALD'S TO ACCEPT BITCOIN
FOR YOUR FOOD. SO THEY WOULDN'T ACCEPT BITCOIN, THEY SAID 'YOU HAVE TO HAVE CHIVO, YOU HAVE TO
HAVE CHIVO' EVEN THOUGH OTHER PEOPLE HAVE PAID WITH BITCOIN AT WALMART USING OTHER WALLETS.
SHE
SAID THERE'S MAINTENANCE WORK BEING DONE SO I CAN WAIT 20 MINUTES TO PAY BY BITCOIN, OBVIOUSLY
I'M NOT GOING TO DO THAT SO I'LL PAY WITH CREDIT CARD. GRACIAS. MCDONALD'S PAYMENT: 565 WORTH
OF BITCOIN. SO EVEN THOUGH YOU PAY IN BITCOIN IT STILL COMES AS USD, IT STILL SHOWS AS USD. SHE
SAID THAT A CUSTOMER TRIED TO PAY WITH ANOTHER WALLET AND THEY NEVER GOT THE MONEY THAT'S WHY
SHE WAS SO HESITANT TO EVEN LET ME TRY TO PAY FOR THE ITEMS WITH MY WALLET. SO NOT ONLY
DID THEY NOT WANT TO EVEN LET ME TRY BUT THEY SEEM LIKE THEY DON'T TRUST IT SEEMS LIKE THEY'RE
AFRAID OF IT. OUT OF WALMART STARBUCKS AND MCDONALD'S THE ONLY ONE THAT HAS SEAMLESSLY
IMPLEMENTED BITCOIN WOULD BE MCDONALD'S. IT WAS A REALLY WEIRD FEELING TO LOOK IN MY WALLET
AND SEE MORE MONEY THAN I EXPECTED, AND SO WHEN I CAME TO BUY THIS IT ALMOST FELT LIKE IT WAS FREE,
AND NOW I'M STARTING TO UNDERSTAND HOW PAYING WITH BITCOIN CAN FEEL REALLY GOOD BUT ALSO BE REALLY
REALLY SCARY TOO.
OF COURSE I THINK IT'S GONNA HELP THE ECONOMY. IT'S PLANNED AS THE SINGAPORE
OF BITCOIN HERE IN EL SALVADOR. THAT'S RICKY: HE'S AN ITALIAN PODCASTER WHO CAME HERE TO SPEND TWO
MONTHS USING JUST BITCOIN. THAT MEANS NO DOLLARS. IN 2001 THIS COUNTRY SWITCHED TO THE US DOLLAR
AS ITS OFFICIAL CURRENCY. THE GOVERNMENT DID THIS PROMISING A BETTER ECONOMY, BUT IN THE PROCESS IT
LOST ITS ABILITY TO HAVE ITS OWN MONETARY POLICY, BECOMING RELIANT ON THE US. UP UNTIL THREE
YEARS AGO THIS WAS A VERY DANGEROUS COUNTRY, THEY HAD PROBLEMS WITH THE GANGS. BUT THEN A
NEW PRESIDENT CAME: NAIB BUKELE. HE WAS JUST 39 WHEN HE TOOK OFFICE PROMISING TO OVERHAUL THE
SYSTEM, AND BITCOIN BECAME THE WAY TO DO IT. THIS GUY MADE THIS COUNTRY KNOWN FOR THE FIRST TIME.
HE'S LIKE TRYING TO CHANGE THE COUNTRY.
HE SPEAKS CONSTANTLY IN ENGLISH ABOUT IT, HE IS TALKING TO
US: TO ENTREPRENEURS, TO INVESTMENT FUNDS. HE IS MAKING PRO ECONOMIC AND POLITICAL PROPAGANDA
TO ATTRACT MONEY FROM THE REST OF THE WORLD TO EL SALVADOR. AND IT'S WORKING. IT'S BROUGHT
ENTHUSIASTS LIKE LORENZO, AUTHOR OF 'HEY MOM, I BOUGHT BITCOIN' I JUST THOUGHT I WANNA
SEE WITH MY EYES WANT TO PAY WITH BITCOIN JUST SEE OUR COUNTRY CAN REALLY MAKE BITCOIN
LEGAL TENDER. THIS IS A CASH BASED SOCIETY. NOBODY HERE HAS A CREDIT CARD, NOBODY HERE HAS
A BANK ACCOUNT. EVERYONE HERE HAS A CELL PHONE THOUGH, EVERYONE HERE HAS INTERNET.
SO NOW THEY CAN HAVE A BANK ACCOUNT IN THEIR POCKET, IN THEIR SMARTPHONE.
BUT MOST
SALVADORIANS WHO GET PAID IN BITCOIN IMMEDIATELY CONVERT IT TO US DOLLARS. THEY LIVE DAY TO DAY, SO
THEY DON'T HAVE 50 BUCKS AT THE END OF THE MONTH TO SAVE IN BITCOIN. THEY DON'T HAVE A CURRENCY
AND IF THEY DO IT'S DOLLAR WHERE THEY HAVE NO CONTROL OVER. BITCOIN IS PERFECT FOR ITS LIMITED
SUPPLY. PEOPLE HERE THEY PROBABLY DON'T KNOW WHAT IS SAVING BITCOIN WHAT CAN PROVIDE HERE IS ALSO
FINANCIAL EDUCATION. AND BUKELE IS LEADING BY EXAMPLE. THE COUNTRY HAS SPENT AROUND 85 MILLION
DOLLARS ON BITCOIN SINCE IT BECAME LEGAL HERE. ACCORDING TO THE NEW YORK TIMES: EL SALVADOR
HAS PAID AN AVERAGE OF FORTY SEVEN THOUSAND FIVE HUNDRED DOLLARS PER BITCOIN. TODAY TWO PERCENT
OF ITS RESERVES ARE IN BITCOIN, BUT TRADITIONAL INSTITUTIONS FROM MOODY'S TO THE IMF ARE SLAMMING
EL SALVADOR. AND YET THIS IS GIVING HOPE TO MANY OF ITS YOUNG PEOPLE. I HAD TO GO THROUGH SPAIN,
THE IMMIGRATION OFFICER WAS LIKE OH BITCOIN ALSO HAVE A TOUR BECAUSE IN THE PAST THEY WOULD BE LIKE
OH GAMES WE ARE FREE BECAUSE WE BITCOIN YOU DON'T NEED TO TO TO BE IN A BANK YOU CAN STRIKE LIKE
SAVING MONEY IT'S REALLY HARD TO GO MORE THAN FIVE MINUTES HERE IN SAN SALVADOR THE CAPITAL OF THE
COUNTRY WITHOUT SEEING SOME REFERENCE TO BITCOIN OR CRYPTO OR IN THIS CASE TREZOR WHICH IS A
HARDWARE WALLET WHERE YOU CAN USE TO STORE CRYPTO RIGHT NOW I'M HEADED TO A CRYPTO MEETUP.
IT'S
BASICALLY AN EVENT FOR PEOPLE TO COME TOGETHER TALK EVERYTHING CRYPTO. SO I THINK WE'RE AT A
CROSSROADS HERE, AND WHAT HAPPENS IN EL SALVADOR WILL HAVE A LOT TO SAY WHICH PATH WE TAKE. THAT'S
JOHN: HE'S AN AMERICAN WHO MOVED HERE TO START AN ORGANIZATION THAT EDUCATES PEOPLE ON HOW TO USE
BITCOIN. EVERYONE WHO COMES TO THIS EVENT GETS FIVE DOLLARS IN BITCOIN TO GO AND BUY A COUPLE OF
BEERS. OF COURSE IT'S EASIER TO JUST GIVE A COUPLE FREE BEERS BUT THIS IS A LITTLE BIT MORE FUN FOR
PEOPLE WHO ARE OBSESSED WITH BITCOIN. 'MI PREMIER BITCOIN' WHICH MEANS MY FIRST BITCOIN IS NOW A
TEAM OF PEOPLE WHO ARE EDUCATING LOCALS. IT'S TURNED INTO A VERY POLITICAL IDEA. SO WHEN YOU
WANT TO TEACH A PERSON IT'S LIKE OH THIS BUKELE OR AH THE GOVERNMENT. RESPONSIBILITY WHEN YOU
TEACH THEM BECAUSE EVERYTHING YOU'RE TELLING THEM, THEY'RE BELIEVING YOU BECAUSE
THEY DON'T THEY KNOW NOTHING. WHILE SOME PEOPLE ARE PAYING AND ACCEPTING
BITCOIN IN EL SALVADOR, THE MAJORITY OF PEOPLE I MEET ARE NOT.
ONE SHOP OWNER EVEN HAS
A SIGN PROUDLY SAYING HE DOESN'T ACCEPT BITCOIN. UP DOWN UP DOWN AND NOW IS SLOWING DOWN. THEY NEED
TO EDUCATE THE MASSES MORE I THINK THE NUMBER ONE KID COMES OUT IS EDUCATION. WE DON'T KNOW YOU
KNOW CONFUSING NO INFORMATION NO EDUCATION, A LOT OF PEOPLE NEED TO LEARN. LACK OF EDUCATION IS
CAUSING THE LACK OF UNDERSTANDING OF HOW IT WORKS. BUT ORGANIZATIONS LIKE THIS AT BITCOIN BEACH
ARE TRYING TO CHANGE THAT. HERE THEY TEACH ENGLISH CLASSES AND CLASSES ABOUT PERSONAL
FINANCE. THEY EVEN GIVE KIDS SOME BITCOIN, TELL THEM TO GO BUY SOMETHING WITH IT AND
THEN DISCUSS IT BACK IN THE CLASSROOM. CREATE A BETTER ECONOMY WE WANT TO TEACH
THE KIDS ABOUT A FINANCIAL, FINANCE STOR,Y AND ABOUT LIKE SAVING MONEY..
NOW PEOPLE
FROM OTHER COUNTRIES WANT A PIECE OF THIS NEW CRYPTO MARKET, THAT'S WHAT I FIND AT THE
BASE OF EL SALVADOR'S WORLD TRADE CENTER. THIS PLACE IS ACTUALLY FUNDED BY A CRYPTO STARTUP
CALLED 'OGOCOIN' AND IT WAS ACTUALLY STARTED BY A MAN IN SINGAPORE. IT'S A SINGAPOREAN COMPANY
HENCE THIS HUGE MURAL OF SINGAPORE. ON THE WALL THEY HAVE A TIMELINE OF HOW WE PAY FOR THINGS
STARTING FROM BARTERING FOR THINGS GOING TOWARD GOLD, GOING TOWARD CASH, WHEN OUR CREDIT CARDS
BANKS AND IT ENDS IN SEPTEMBER 2021 WHERE EL SALVADOR ADOPTS BITCOIN AS LEGAL TENDER. IT'S
SUPER INTERESTING TO SEE THEM ASSOCIATE BITCOIN WITH THINGS SUCH AS YOU KNOW BARTER AND CREDIT
CARD GOLD, BECAUSE IT REALLY INSTILLS THAT IMPRESSION IN YOUR BRAIN THAT THIS IS THE FUTURE.
AND THEN THERE ARE COMPANIES LIKE STRIKE WHERE YOU CAN PAY WITH BITCOIN IT'S AN AMERICAN COMPANY
SO EAGER TO GET CUSTOMERS HERE THAT IT TELLS SOME MERCHANTS TO GIVE 75% OFF IF THEY PAY WITH
BITCOIN.
AND STRIKE WILL PICK UP THE DIFFERENCE, BUT FOR MANY YOUNG PEOPLE HERE THEY DON'T REALLY
NEED AN INCENTIVE. I GO TO THE GYM SO A FRIEND OF MINE TALKS ABOUT BITCOIN ALL THE TIME SO
IT SEEMS LIKE A COOL STUFF. LET'S SAY I MAKE $500 A MONTH, IN 2020 I WOULD HAVE SAVED $900 ON
MY PENSION, RIGHT? WHAT IF INSTEAD OF PAYING $75 TO A PRIVATE COMPANY WHO HANDLES MY PENSION, I
WOULD HAVE BOUGHT $75 IN BITCOIN EVERY MONTH IN 2020.
DO YOU KNOW HOW MUCH MONEY I WOULD
HAVE RIGHT NOW INSTEAD OF 900? $8 000. AND WHEN I TELL LOCALS ABOUT ABOUT THIS EXAMPLE
THEY'RE LIKE OKAY SALVO WHERE'S MY PHONE. DO YOU USE CHIVO SAY AT THE BEGINNING I
START USING CHEAPO DO PEOPLE LIKE CHIVO YEAH SOME PEOPLE THIS CELL PHONE STORE SELLS EVERYTHING
AND THEY PROUDLY ACCEPT BITCOIN AND CHIVO. CHIVO IS EL SALVADOR'S OFFICIAL BITCOIN WALLET AND
UNLIKE EVERY DIGITAL WALLET IT CAN ONLY BE USED BY SALVADORIANS. MILLIONS OF SALVADORIANS
HERE THEY HAVE THE ACHIEVABLE WALLET, THAT IT'S A BITCOIN AND DOLLAR DIGITAL WALLET, SO THEY
CAN TRADE ON BITCOIN, THEY CAN RECEIVE BITCOIN, AND OF COURSE THEY CAN PAY IN BITCOIN. BUT
CHIVO HAS ALREADY BECOME SYNONYMOUS WITH POLITICAL CONTROVERSY. THEY DON'T TRUST THEIR
GOVERNMENT, AND THEY SEE BITCOIN AS SOMETHING THAT COMES FROM THE GOVERNMENT. IT'S SOMETHING
OF A PARTISAN ISSUE HERE. PRESIDENT HAS HIGH APPROVAL RATINGS, BUT MANY PEOPLE THAT DON'T LIKE
THE PRESIDENT FEEL PRETTY STRONGLY ABOUT THAT. THIS IS IT, THIS IS THE CHIVO ATM. THIS IS WHERE
PEOPLE CAN TRADE THEIR BITCOIN INTO DOLLAR OR THEIR DOLLAR INTO BITCOIN. AND THIS IS ONLY FOR EL
SALVADORIANS.
THE FIRST THING IT ASKS IS WHAT IS MY MOBILE NUMBER SO THIS IS FAR FROM ANONYMOUS THE
WAY A LOT OF PEOPLE YOU KNOW USE BITCOIN FOR. YOU HAVE A NUMBER OF STAFF MEMBERS WHO ARE PROMOTING
CHIVO, HELPING ANSWER PEOPLE'S QUESTIONS, AND ULTIMATELY TRYING TO PROMOTE THE APP.
I'VE ACTUALLY NEVER SEEN SO MUCH SECURITY FOR ANYTHING IN EL SALVADOR. I HAVE TO WONDER IF
THE SECURITY IS HERE BECAUSE OF POTENTIAL UPROAR. AS AN INCENTIVE TO USE CHIVO, THE GOVERNMENT
OFFERED EVERY ONE OF ITS CITIZENS THIRTY DOLLARS WORTH OF BITCOIN IF YOU GET THE APP, YOU GET IN
EXCHANGE THIRTY DOLLARS IN BITCOIN. THAT IS HUGE FOR THIS COUNTRY. MILLIONS OF PEOPLE DOWNLOADED
IT WITHIN WEEKS. A LOT OF PEOPLE DO TO $30 FOR BEERS, FOR GASOLINE, AND I DON'T KNOW. THERE
WAS A HUGE SCANDAL HERE IN EL SALVADOR. I CHECKED EVERY DAY AT $30 AND THEN 26 IN ONE MOMENT AND ONE
MOMENT IT DISAPPEARED.
SOMEONE REPORTED THAT THEIR PHONES THEY GOT MISSING IN THE CHIVO APP. HUNDREDS
REPORTED THE SAME PROBLEM. IT WAS NEVER CLEAR IF THE MONEY WENT MISSING FROM HACKERS OR A BUG ON
CHIVO'S APP WHICH HAS RECEIVED SO MANY COMPLAINTS THAT THE GOVERNMENT HAS HIRED A NEW YORK FIRM
TO FIX THE BUGS. I'M FRUSTRATED THAT PEOPLE ASSOCIATE BITCOIN AND THE CHIVO THING IS THE SAME
THING. BITCOIN IS BITCOIN, A TECHNOLOGY. AND THEN YOU HAVE THE WALLET. WHEN CHIVO HAS TO INTERACT
WITH THE BLOCKCHAIN, IT'S BAGGISH. SOMETIMES YOUR TRANSACTION DISAPPEAR, IT'S HARD TO FIND THE
LIGHTNING NETWORK ON THE CHIVO APP. AND THAT'S BAD FOR BITCOIN BECAUSE SOMETIMES PEOPLE GET MAD
WITH CHIVO BUGS, AND THEY THINK BITCOIN IS NOT WORKING. BITCOIN WORKS PERFECTLY, IS CHIVO THAT
SUCKS. THAT'S SOMETHING THAT WE WE ACTIVELY TRY TO SHOW PEOPLE, THAT CHIVO IS ONE WAY TO USE BITCOIN.
CHIVO WALLET BELONGS TO THE SALVADORIAN GOVERNMENT SO THEY OWN THE POPULATION BITCOINS AT THE
MOMENT, AND THIS IS SOMETHING I CANNOT ENDORSE AT ALL.
THE FRONT PAGE OF TODAY'S PAPER SAYS CHIVO
IS EXPANDING AND GOING TO BE REDUCING FEES FOR REMITTANCE, SO PEOPLE IN THE U.S LET'S SAY SENDING
MONEY TO THEIR RELATIVES HERE IN EL SALVADOR THE FEES ARE NOW GOING TO BE LOWER. FRONT PAGE OF THE
NEWSPAPER. GOOD PR PUSH FOR CHIVO. THIS IS NOT HOW YOU HELP YOUR POPULATION FREEING, YOURSELF BY
THE SLAVERY KNOWN AS ADDITIONAL FINANCIAL SYSTEM. WE MUST PRESUME CHIVO IS A SPYWARE AND IS A
CUSTODIAL WALLET. YOU DON'T OWN YOUR PRIVATE KEYS. AND IF YOU DON'T OWN YOUR PRIVATE KEYS
YOU DON'T OWN YOUR BITCOIN. PEOPLE LOVE BITCOIN BECAUSE IT'S A DEMOCRATIC FORM OF MONEY THAT'S
NOT BACKED BY ANY GOVERNMENT OR CENTRAL BANK, LOOK AT HOW THE LIVES OF PEOPLE IN VENEZUELA OR
LEBANON HAVE CHANGED AND YOU CAN SEE THE APPEAL OF A DECENTRALIZED CURRENCY. BUT IF EVERYONE HERE
IN EL SALVADOR IS USING A GOVERNMENT-LAUNCHED APP, IS THIS REALLY HOW BITCOIN WAS INTENDED TO BE
USED? 2.5 MILLION SALVADORIAN ARE LIVING ABROAD, MOST OF THEM IN THE US. A HUGE MAJORITY OF THEM
ARE WORKING ABROAD ILLEGALLY.
SO WHEN YOU DO THAT YOUR HOME COUNTRY ALL CONTACTS WITH YOU,
THEY DON'T KNOW WHERE YOU LIVE IN THE US, THEY DON'T KNOW WHAT YOU DO, THEY DON'T KNOW HOW
MUCH YOU MAKE, THEY DON'T KNOW HOW MUCH MONEY YOU SEND BACK HOME. NOW WITH THE CHEVO WALLET THEY
KNOW EVERYTHING THEY KNOW WHERE YOU ARE THEY KNOW WHAT YOU BUY THEY KNOW HOW MUCH MONEY YOU
GET THEY KNOW HOW MUCH MONEY YOU SEND BACK HOME BECAUSE YOU'RE NOT USING ANYMORE WHEN WESTERN
UNION TO DO THAT, YOU USE THE ACHIEVABLE WALLET. ALMOST 90 PERCENT OF GLOBAL TRANSACTIONS
ARE DONE IN U.S DOLLARS. IF YOU TALK ABOUT SALVADORIAN IN THE STREETS, THEY ARE MORE THAN
FINE WITH DOLLARS THEY HAVE BEEN USING IT FOR 20 YEARS. FOR ME IT'S AMAZING USING AMERICAN DOLLARS
THAT HAVE POWER AROUND THE WORLD, BUT BITCOIN IS NEW.
BUT MANY YOUNG PEOPLE HERE ARE TELLING ME THE
EXACT OPPOSITE AND MUCH OF THEIR LOVE FOR BITCOIN COMES FROM A FEAR OF THE US DOLLAR. THE VALUE OF
THE DOLLAR IS DECREASING EVERY DAY MAYBE YOU DON'T SEE IT LIKE IN VENEZUELA OR ARGENTINA, BUT IT'S
THE SAME THING. THE DOLLAR, THE INFLATION GETS TOO HIGH YEAR OVER YEAR. I SAW A TWEET: THE DOLLAR
OVER THE YEAR SINCE 1916. $100 IN THAT TIME NOW IT'S LIKE CENTS OR ONE DOLLAR. THE U.S DOLLAR
IS GOING TO GO DOWN IF YOU UNDERSTAND HOW MONEY WORKS YOU WOULD UNDERSTAND THAT THE U.S DOLLAR
HAS A VERY VERY SMALL TIME. THE SAD PART IS 99.9 PERCENT OF THE WORLD DOES NOT UNDERSTAND HOW MONEY
WORKS, SO THAT'S WHY THEY'RE STILL BULLISH ON THE US DOLLAR. IF YOU WANT TO STAY IN DOLLARS AND
YOU HAVE A GUARANTEE OF LOSS OF PURCHASING POWER, OR YOU'RE IN BITCOIN AND YOU HAVE A GUARANTEED
INCREASE IN PURCHASING POWER WITH SOME VOLATILITY. SURE INFLATION HAS HIT A 40-YEAR HIGH IN THE U.S
BUT INFLATION HAS HAPPENED GLOBALLY AND DESPITE THAT THE US DOLLAR IS STILL CONSIDERED KING
TO MOST.
THE BITCOIN NARRATIVE IS AGAINST FIAT MONEY THEY ARE EXPRESSION OF THE OLIGARCHY FED
CAN PRINT TRILLIONS OF DOLLARS OUT OF THIN AIR. THIS MONEY IS PACKED BY NOTHING IT'S JUST TOILET
PAPER AND BLAH BLAH BLAH BLAH. PRINTING MONEY HAS REAL CONSEQUENCES. FOR THEM THE DOLLAR IS EVIL
BECAUSE IS A TOOL TO ENSLAVE ECONOMICALLY PEOPLE. COMMUNIST REGIME IN VENEZUELA AND IN CUBA
ALLOWED PEOPLE TO SEE RUSSIA TODAY. MAX KEISER IS IN RUSSIA TODAY, WHY? BECAUSE MAX KAISER KEEPS
BASHING THE DOLLAR IN HIS PODCAST, SO THEY THINK THAT'S ANTI-AMERICAN PROPAGANDA. BECAUSE
RUSSIA IS NOT AN INDEBTED ECONOMY, BUT THESE OTHER COUNTRIES BECAUSE THEY'RE SO INCREDIBLY
INDEBTED THEY PUT THEMSELVES IN THIS POSITION. THE REASON WHY MAX IS SO POPULAR IN CUBA AND
IN VENEZUELA OTHER TWO COUNTRIES THAT ARE USING BITCOIN A LOT TO FREE THEMSELVES FROM THE US.
PRESIDENT PUTIN HAVE DONE A BRILLIANT JOB SO BRING IT UP. ASK ANY BITCOIN ENTHUSIAST THEY'LL SAY
BITCOIN IS A TECHNOLOGY THAT TRANSCENDS POLITICS. BUT IN EL SALVADOR RIGHT NOW BITCOIN HAS
BECOME POLITICS.
THERE ARE ECONOMISTS THAT SAY IT COULD DIP AS LOW AS 10 000 THIS YEAR. WHAT DO
YOU SAY TO THAT? OH 10 000. YEAH. WHILE I'M HERE BITCOIN WAS DOWN 50 OFF ITS HIGHS WITH SOME SAYING
IT COULD PLUNGE FURTHER. WHEN YOU SEE IT LIKE THAT IT'S SCARY OF COURSE LIKE ME A SALVATORIAN REGULAR
GUY THAT DOESN'T HAVE MILLIONS OF COURSE IT WOULD AFFECT MY ECONOMY BUT THEN THIS DECENTRALIZED
ECONOMY AND THIS IS WHAT IT STANDS FOR. COINERS GET PAID TO REALIZE THIS BEFORE WE GET PAID TO
BE EARLY. THAT'S WHY I HAVE THE SUCCESS I HAVE. I I DON'T SEE A BITCOIN GOING DOWN IS IT HAS IT
GONE DOWN I'M UNAWARE OF IT THAT'S NEWS TO ME EVERY CHART I LOOK AT JUST SAYS 11 YEARS AGO.
ANYONE WHO TRIES TO TRADE IN AND OUT OF BITCOIN THERE'S A CITY IN NEVADA FOR THEM IT'S CALLED LAS
VEGAS. BITCOIN HAS PUT THIS COUNTRY ON THE MAP LIKE IT HAS NEVER BEEN SEEN BEFORE. THERE
ARE NOW PLANS TO EVEN BUILD A BITCOIN CITY. I'M REALLY PROUD OF BEING IN SALVADORIAN RIGHT
NOW.
I'M WORKING AND GETTING MY CITIZENSHIP I BELIEVE THAT THIS COUNTRY WILL MAKE IT
HAPPEN. I'M REALLY EXCITED ABOUT THE POSSIBILITY FOR A NATION STATE LIKE EL SALVADOR TO BE ABLE
TO EXIST IN AN INTERCONNECTED FINANCIAL WORLD THAT IS NOT DOMINATED BY THE OLD POWERS. SO
WILL BITCOIN REALLY REPLACE FIAT CURRENCIES? THOSE THAT UNDERSTAND IT WE ARE OBLIGATED
TO SHARE OUR KNOWLEDGE.
IN THE PAST WE USED GOLD BUT THEN THE DOLLAR CAME BECAUSE IT'S
JUST A LOT EASIER TO EXCHANGE WITH SOMEONE. BUT UNLIKE GOLD WHICH IS TIED TO SCARCITY
THE DOLLAR WAS TIED TO THE GOVERNMENT. I DO NOT SEE BITCOIN AS A WAY TO MAKE MORE DOLLARS,
I SEE BITCOIN AS A WAY TO ESCAPE DOLLARS. WHY WOULD YOU EVER CHOOSE TO HOLD A MONEY THAT
SOMEONE CAN ARBITRARILY DIMINISH. A DECADE AGO IN CHINA HUNDREDS OF MILLIONS OF PEOPLE SKIPPED
USING COMPUTERS AND WENT STRAIGHT FOR CELL PHONES. THIS IS A CONCEPT KNOWN AS LEAP FROGGING,
AND IT'S WHY CHINA'S SMARTPHONE MARKET IS NOW SO ADVANCED. TODAY, MORE THAN 1.7 BILLION ADULTS
ON OUR PLANET DON'T HAVE BANK ACCOUNTS. BUT MANY ARE GETTING CELL PHONES AND THE INTERNET, AND IF
BITCOIN GAINS TRACTION HERE IN THIS COUNTRY COULD MILLIONS MORE BE NEXT? BITCOIN IS GONNA EVENTUALLY
MAKE STATES OBSOLETE, BECAUSE IT RESPONDS TO A BASIC NEED OF HUMAN BEINGS, ALL AROUND THE
WORLD. FOR THE FIRST TIME IN HISTORY WE ARE SAYING STOP TWO DOLLARS. IF ENOUGH PEOPLE ARE USING
BITCOIN IN SAY, ARGENTINA, THEN THAT BECOMES A CURRENCY.
WE HAVE A SPIKE IN ADOPTION ALL OVER
CUBA VENEZUELA. IT'S A SORT OF WAY THAT PEOPLE CAN VOTE BITCOIN IS TO PROTECT HUMAN RIGHTS NOT
TO MAKE A SPOILED BRAT FROM WALL STREET RICHER..
