Bottom line – yiddish is the jewish language whether its as popular as it once was or not doesnt matter it should be. It the (just about) universal language amoung chasidim, chabad included as its the language of crown heights. Like many before me have said, hebrew is strongly based of loshon hakoidesh which isnt b’chaviddik to be spoken in non toradik discussions. Yiddish avoids this problem.
BTW (there are still many litvaks in America who grew up or are growing up in a yiddish speaking home though it is the minority.
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