South Americans Use Bitcoin in Fight Against Corrupt Regimes
While sovereign currencies in Argentina, Venezuela and even Brazil perennially over inflate, their citizens, fed up of seeing their wealth disintegrate, now have Bitcoin (BTC) as a viable option against their governments’ economic misrepresentation.
Inflation is real in all government controlled, sovereign currencies. Even a 2% rise per year negatively impacts savers, especially now banks pay less than 1% interest.
South Americans are used to much higher rates of inflation, however, and corruption is rife throughout the continent. In Argentina, the population is regularly losing more than half their wealth on an annual basis.
This year alone the Argentinian peso has inflated by 51.4%, up slightly from 50.5% in 2018. Both years are nothing compared to 1990, where a high of over 20,000% and an average inflation of almost 7500% saw severe devastation for Argentinian citizens.
Venezuelans have had it even worse. Inflation rates in the oil rich country averaged 3743% from 1973 until 2019, and recently reached an all time high of 344510% in February 2019.
Even Brazil, a relatively stable economy in South America, is averaging 3.7% inflation this year. More durable when compared with its neighbours, but older Brazilians are only too aware of the economy crisis in the 1980s and 90s, where inflation topped at 6821% in 1990.
Added with the ceaseless government corruption, Brazilians are as fed up as the rest of the continent’s suffering inhabitants. But is Bitcoin a viable option for South Americans? Why not just save wealth in US Dollars? Read More