Sri Lanka rejects Tim Draper’s idea to combat corruption with Bitcoin

Nandalal Weerasinghe, Governor of the Central Bank of Sri Lanka, rejected Tim Draper’s proposal to eradicate corruption in the country through embracing bitcoin.

According to the banker, adopting the primary cryptocurrency could lead to a worsening of the country’s economic situation.

The Bitcoin Concept is Discredited

American venture capital investor, Ranil Wickremesinghe, recently visited Sri Lanka for an episode of “Meet the Drapers.” They also discussed the current financial crisis in the region and possible solutions.

Draper Claim Sri Lanka is a “corruption capital”, and it was suggested that people shift to bitcoin in order to move forward.

“Have your seen Sri Lanka on the news?” It is known as the corrupt capital. With the adoption of Bitcoin, a country that is notorious for corruption will be able keep perfect records.

Tim Draper. Source: TechCrunch
Tim Draper. Source: TechCrunch

Weerasinghe was however not open to the idea and claimed that “the adoption in Sri Lanka of 100% Bitcoin will never be a reality.”

According to the Governor, technologies other than the most prominent digital asset could be used to distribute monetary services and increase financial inclusion in the country.

He concluded that “We don’t want to make this crisis worse by introducing Bitcoin.”

Sri Lanka’s economic situation is very worrying, with the inflation rate exceeding 54%. Last year, the country was also struck by an energy crisis that triggered mass protests against its government. Locals were forced to wait for days to get supplies because of the severe shortage of fuel, domestic gasoline, and essential goods.

Draper mentioned El Salvador, where, despite its problems (significant unemployment, poverty and inequality), bitcoin was declared legal tender in 2021. It had a positive impact on the country and boosted investments in the region. fostering The local tourism industry.

The Central African Republic (CAR), one of the poorest countries on the planet, is also listed. embraced The asset can be used as a payment method within its borders.

Tim Draper’s Bullish Outlook

The billionaire predicted Bitcoin will reach $250,000 by 2022. This is in June 2021. It is expected that many large institutions will accept bitcoin as a payment method. Last year, the asset was far lower than expected at $16,500.

Draper was bullish despite the market’s decline in the months that followed. Say it BTC will hit the $250K mark once macroeconomic conditions improve, and women use it daily for shopping.

It’s going to happen quickly when women see that they can get a discount by using bitcoin and retailers realize that they can double their income through accepting bitcoin.

By David Warsh

David Warsh is a leading expert in the field of cryptocurrency and blockchain technology. With over a decade of experience in the industry, he has a deep understanding of the intricacies of digital currencies and the potential they hold for revolutionizing various industries.