Fábio Ostermann, a Brazilian politician, sees bitcoin as a way to render government instruments obsolete and allow technology to liberate people.

The Brazilian congressman talked on Bitcoin and the adoption of decentralised technologies in an episode of the “Bitconheiros” podcast with guest Fábio Ostermann, among other topics. Boletim Bitcoin, a local news site, posted this report.

Technology that promotes decentralisation, according to the Brazilian member of Parliament, has the potential to free Brazil since it can render many organisations obsolete, including the Central Bank and other monetary policy-related institutions. He revealed,

“I personally believe very much in the future of freedom in Brazil and consequently in the future of prosperity in Brazil. I think that our children will live in a level of freedom that we have never imagined.

“Most probably because of what our generation is building. […] I am very confident in the future of freedom and of Brazil, consequently, because I see that in the worst case scenario, technology will set us free.”

In the Heritage Foundation’s economic freedom rating, Brazil is currently placed 133rd out of 177 countries. In any obvious element, the Latin American country has shown no trace of freedom.

Bitcoin has the ability to open a huge area for the rise of freedom in the globe, as the MP and a number of others correctly point out throughout the episode. It takes away centralised agencies’ monopolies on currency issuance and the financial system.



In recent decades, Brazil has seen a succession of events that have eroded public trust in government institutions. Between 1940 and 1994, the country suffered from significant inflation, including occasional bouts of hyperinflation. Many believe that this is a big reason for bitcoin’s appeal in the country, as the people is accustomed to distrusting government-issued money.

More people in Brazil are currently investing in bitcoin and other digital assets than in the stock market in the United States.

Due to many historical events, a lack of trust in one’s own government has become an intrinsic element of Latin American culture. Because most South American countries have suffered hyperinflation, dictatorships, and theft of savings, trusting centralised institutions is understandable.

Bitcoin has become a strong liquid alternative to government-issued money, as well as a tool to gain sovereignty through a hard currency running on a censorship-resistant monetary network, because it is a decentralised monetary network with no need to trust intermediaries.


During the conversation, the congressman, who is known for promoting pro-economic-liberty policies, continued:

“[Bitcoin] will change a number of government tools that are now, or were recently, considered as important as the Central Bank itself. It will, sooner or later, render them obsolete as monetary regulatory authorities.”

Because Bitcoin is a money protocol in the virtual cyberspace of the internet, it has the potential to challenge the power of Central Banks and monetary institutions all over the world.

Bitcoin has stayed steadfast for 13 years, delivering a solid monetary network and a highly appreciable liquid asset, thanks to aligned incentives and a “army of miners” trying to identify new blocks and protect the network’s stability.

The congressman also mentioned the emergence of a number of technologies that have the ability to decentralise government power and limit the function of the state. “The trend is for us to continue down the path of decentralisation… It’s what some people jokingly refer to as uberization… But there’s another phenomena at work here: decentralisation, or the dispersal of choices.”

Ostermann was most likely referring to decentralised applications, which use complicated smart contracts to run services from traditional programmes and systems. The parliamentarian’s comments match forecasts made by economist Milton Friedman, who stated on multiple occasions that the advent of internet-native money will eventually lead to governments around the world playing a smaller role.

“The one thing that is missing, but will soon be developed, is a reliable e-cash (electronic money). A method whereby on the internet you can transfer funds from A to B, without A knowing B or B knowing A. The way in which I can take a $20 bill and hand it to you and there is no record of where it came from. And you may get that without knowing who I am. That kind of thing will develop on the internet …” —Milton Friedman, in a 1999 interview.

Bitcoin is a beacon of hope for Brazil, Latin America, and the rest of the world.

Source: Bitcoinmagazine

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