Institutional adoption of Bitcoin does not compromise its monetary essence, says Fernando Ulrich

Brazilian economist Fernando Ulrich, one of the first advocates of Bitcoin in the country, stated that the adoption of the cryptocurrency by governments does not weaken its function as money. In a recent interview, he highlighted that the growth of the network occurs gradually, supported by solid fundamentals.

Ulrich, author of the first book about Bitcoin in Brazil, mentioned that he was initially skeptical about the digital currency. Over time, however, he began to see the asset as a structural technology — comparable to the internet and electricity — and not as an innovation for immediate use.

"The adoption curve of Bitcoin is not explosive like that of an app or a cellphone. It is a long-term construction," he stated.

The economist also rejects the idea that the association of Bitcoin with countries or institutions undermines its original proposal. According to him, the involvement of nation-states is part of the natural evolution of a technology that continues to challenge financial paradigms.

Still, Ulrich pointed out privacy as a weak point of the network. Commenting on the censorship of addresses associated with sanctions, he acknowledged that there is room for improvement, but emphasized that Bitcoin continues to prove resilient and adaptable.