On September 7, El Salvador became the first country to adopt Bitcoin as a legal tender. While many consider this move as of historical importance, Fidelity Investment analyst Jurrien Timmer disagrees. According to him, El Salvador's BTC adoption is overplayed.
Related: Bukele: A third of Salvadorians are actively using Chivo
Timmer expressed his opinion during the interview with CNBC. In particular, he said the development is interesting, however not as significant as many are tended to believe. The analyst says El Salvador continues to use US Dollars and BTC is an additional option. In the case of El Salvador has dropped USD for BTC, that would have been major news.
At the same time, Timmer says although using Bitcoin is a voluntary thing, it's the first real test of using the cryptocurrency as a mirror of exchange.
The analyst says the major issue of Bitcoin is its volatile value, which scares. During the interview, Timmer also compared Bitcoin's current status with the status of gold in the 1970s, with the difference that gold went from money class to commodity and BTC aims to do the other way round.