Topic: Bitcoin Popularity Soars in Argentina Due to Mass Inflation - page 2. (Read 612 times)

No, the inflation rate on their fiat would go on normally, because adopting bitcoin doesn't magically make the peso "strong". But of course listing things in bitcoin price will make it look that way if you ignore the peso price going up and the bitcoin price going down on the same item.

In a way, it would halt the inflation, because its like telling people to start using gold coins from now on. Argentina can have dual coins, like Peru with the USD, or get rid of the peso entirely but that would probably cause more confusion at first than simply letting both be used for a transitional period at least.

To adopt a "strong" currency (ie. like gold) adopting Austrian economics is a must. You have to get rid of debt asap and force banks to adopt 100% reserve system, and close the central bank because you won't need it anymore. If you only adopt the "strong" currency but keep the rest intact, you might be getting in a worse situation similar to what happened in the 2000ies, because that's was Chicago economics, the one socialists mistakenly call "neo-liberal", Ie. Friedman et al (Growth by debt, instead of growth by "true" accumulation).

Inflation is a big threat for economics, Argentina now face inflation, due to mass inflation now Argentine economics face huge problem through this inflation. I think due to mass inflation Bitcoin going more popular to solve this problem. But it's not possible to solve totally this mass inflation, but bitcoin solve little bit this problem through using bitcoin.

South American countries like Argentia and Venezuela and Peru and Brazil all countries are now adoption towards cryptocurrencies as the main payment processor due to hyperinflation cryptocurrency is safe of storing money and doing transactions

Less likely a country will fully adopt Bitcoin when massive inflation happens, I know its a critical situation, and adopting bitcoin will result in either a more economic collapse or the economy kind of getting 'better'. It would be a big bet for the president to apply such kind of suggestion, it is a high risk to put nation currency into speculative assets.

Anyway, do you have statistics about how conventional assets like gold and silver perform in such condition Argentina?

There are actually two motivating factors for people to turn to Bitcoin, when things fall apart in their countries. The one thing is the trigger and that is the inflation or in some instances also hyper inflation.

The other reason why these people are turning to Bitcoin, is the political instability that higher inflation bring to that country, because the citizens in that country start to doubt their leadership and then try to flee the country before the s#$@ hits the fan. They know many governments start to implement strict capital controls to stop people leaving the country, so they use Bitcoin to bypass these restrictions.  

Inflation is something we cannot control that only the government has the power to increase or decrease it by manipulation of things. The good news is that, with the use of bitcoin, we now have the power to somehow contradict this financial problem. Nice move by the way.

..if argentina government would adoot the use of bitcoin,and make it as their own currency,,would it resolve the inflation rate that takes place on their economy??..it is nice to hear that bitcoin adoptation in argentina takes place but this occurs because of crisis it suffers,,I hope that no other countries will suffer this same situation in order for Bitcoin to be adopted and legalized..

I think to get out of recession will not just be left to the adoption of bitcoin alone. Their government can as well employ the blockchain technology in solving the various problem in their different sector, this too will improve the unhealthy economy. It will be nice to see Argentina adopting bitcoin as part of their reserve.

Then you have an excellent opportunity to move all your savings before the true crisis hits. When its already late you won't be able to protect most of the value, but now before crisis hits you have the highest chance of keeping most of your savings value (or even increase it if the market favors you).

Don't wait until your economy crashes, it will be too late by then.

Just be smart and learn to use cold wallets, nothing online or plugged is safe enough. But nobody can touch your cold wallets when done correctly. (using the linux live iso method, for example).

It’s really interesting if Argentina adopts bitcoin how it will reduce inflation. May be people may taking secure decisions like venuezuala petro failure and now people may converting money into bitcoin avoid further money loss

in Turkey where im living is going to be same very soon.me and people around me runs to dollar,gold and little of us like me cryptocurrency.if speculations will come true and there will be a global crisis, bitcoin will hit new ath i guess.

This guy gets it. If an economic collapse could translate into a massive wave of bitcoin adoption, then Venezuela, a country suffering a rampant inflation currently at 2.000.000% (according to sources not linked to the govt), then Venezuela would be the first country to adopt bitcoin and every citizen would be using or holding bitcoin, reality is that none of that is actually happening.

If the btc volume in those countries is increasing is because the big companies or the upper class are using bitcoin, middle class and lower class, pretty much the majority of the population, have no access to bitcoin or don't even know what it is.

Lies. Show me proof of the stores accepting bitcoin as the main form of payment in those countries. Pro tip: you won't find any.

Good for them. I remember when we had such a little inflation, things were so good but we didn't know it...

Like us, they are probably simply seeking refuge for their savings.

The best thing their central bank should do is: Nothing, leave the coin free, and never ever "print" more, like we did. While last year they reached 55%, what do you think us did closing above one MILLION percent? Estimates indicate this year (should the de-facto gov remain in power) inflation will reach 10 MILLION percent.

Even with our soaring inflation (and with various media stating things like in this article) people here are yet to use openly use bitcoin for direct transactions. Everything is come and go from fiat. So the exchanges are the ones benefiting the most, unfortunately.

Argentinians fear the word "corralito". We have been put under that for more than 4 years now... Currently you are only allowed to withdraw barely the equivalent to 1 USD per day from a bank. They keep bashing Macri, only because they don't have Maduro; but they should remember their own history.

If Argentina sticks to free market economy, and doesn't go the way of protectionism or socialism, and instead pick classic liberalism or even better adopt Austrian economics, the country will recover, and i wouldn't worry the least. But if resulting from this, a socialist has a chance to return to power, then run for the hills (the neighbor countries).

I am glad that because of this bitcoin adoption will get higher. But I am also sad that it needs to have an economic crisis before they recognize the importance of bitcoin or cryptocurrency. I hope it does not happen to other countries.

In countries with high inflation first of all people are buying a good old paper dollar. Bitcoin holders are still a tiny minority in the general number of people and I think that its growth is still pretty small. For example earlier there was 1000 BTC holders in Argentina and now this number has turned to 3000 people. Still not much but there it a 300% growth in popularity.
Fiat currencies will always be the main option of saving money from hyperinflation unless government bans all ways to buy it.

Would you have ever thought that a country was actually considering making Bitcoin its national currency?
I'd say that the chance of that actually happening is pretty slim, but just that the president of Argentina actually met with Tim Draper and discussed it is already pretty amazing.

Imagine what would happen to Bitcoin if we experience another global financial crisis...

I don't think that bitcoin can solve the inflation rate in Argentina. Inflation rate comes from poor economic stability. Bitcoin cant feed and give work to the people who are living there. Only the A and B class can benefit into this and the poor will become poorer.

Not only in argentina but also in other countries that are aware already that the community are doing already bitcoin but.not made any rejections as it is not also being regulated but the government had made an earnings with it due to the company that deduct transaction fee from its user.and pay to the government as a tax. The government are only after the money so this is why the inflation of bitcoin and number of users having it is not really alarming to the government and in fact it is the opposite for they are happy getting monry from tax.

Hopefully this adoption will bring good outcome to neighboring countries of Argentina, and if the acceptance of bitcoin provides comfort to residents demand will increase. If the result is successful, then no one can stop the economy to become progressive. People were just waiting for good news to be heard, and when they find it commendable, possible incoming investments will begin right away. Popularity brings great future to bitcoin, and if Argentina was benefited through it I guess nothing's impossible with all countries around the world to divert with digital currency adoption.

So from that news, it is a good chance for bitcoin to enter that country and help to solve the problem and if that happens, then we will have one more country that accepting cryptocurrency. Soon, the other country will follow too because they see that bitcoin can help to solve the finances problem.
The government doesn't need to wait for the inflation comes to accepting bitcoin so they can be ready if the problem comes in anytime.
I would like to see what will happen in Argentina and if they are accepting bitcoin, then it will give fresh air to the cryptocurrency, and that means, the adoption process will be happening in everywhere.