Topic: Bitcoin Popularity Soars in Argentina Due to Mass Inflation (Read 623 times)

Bitcoin adoption won't help to stop the inflation. It shows that the collapse can't be prevented, people don't trust the national currency anymore and look for a substitute.

All of us wants to have bitcoin adoption in any part of the world, this will help us grow in number.

Argentina is really open-minded towards bitcoins existence and now they are manipulating it in their economy which is really important and worth it. Bitcoin can really be a tool to fight economic crisis with a proper management and control in the market. Not all countries do have a courage and urge to legalize bitcoin and benefit from it.

Now they already know why bitcoin is really good. Inflation kills every country and probably shutting down their economy. It is a good move for Argentina to turn into Bitcoins. I think this will have an impact in crypto industry since the people are already aware. In future, fiat currency will become useless as every country made bitcoin as their national currency. Argentina will make its first move to adopt certain changes in currency. Is this a new start for a massive popularity in bitcoin?

The Argentinian peso is going down, because of the inflation but I don't think it would massively push people into Bitcoin.

It might be true that there are people that is putting their money into Bitcoin but I think it is just enough to prove that they look at it to be a great way to save themselves from inflation. I think we should see some great changes in the price of Bitcoin if its popularity is actually soaring in the country.

Franco Amati from the Argentinian Bitcoin Community had quite an interesting talk at the recent Online Meetup about the Situation in Argentina. Was very interesting to hear how people on the ground cope and arrange themselves when the government-issued currency is drastically losing purchasing power all the time.



https://bitcoinsaigon.org/global-online-meetup-recording/

His talk was the last one in this meetup - but maybe the most interesting one to me (all talks were great though, the Greeks did an awesome job putting this together!).

I'm eager to see what the long term effects of this will be, as it could give us insight into how bitcoin can help other nations dealing with inflation issues, if all goes well of course.

I mean for god's sake, Venezuela' now weighing their currency during purchases, with an inflation rate of ONE MILLION

This is simply normal, because in economies where there is inflation, people will always look for ways and economies where they can leave the system where they are to be better. The case of Venezuela is where much sells the Bitcoin, operations are impressive, the volume generated on platforms are very large, just as happens in Argentina, because people will always seek economies where they can achieve their financial freedom more quickly, without taking into account the possible dangers, since the dangers that come with being in an inflationary economy, the worst that can happen is that it is lost already, but if profits are generated it will be with large proportions, because when changing Bitcoin for the local currency, will simply escape the average economy of each person in the Country.

Thanks to this economy, many have been able to rise little by little escaping the system of a country by governments and banking, where the only control to have is in the hands of the same people, as it always should be.

Bitcoin is becoming more and more popular in south America after Venezuela hyper inflation all neighboring countries are implementation bitcoin as major merchant acceptance

I am not really sure if adopting bitcoin in Argentina will lessen their inflation rate but I guess they have some strategies to try in order to lessen their inflation and bitcoin adoption is part of their plan.

I can say that it is a good news to bitcoin lovers as it is another step to widen the usage and acceptance of crypto currency especially the bitcoin. But I am very curious and really want to know how the Argentina will use the bitcoin in order to lessen their inflation rate.
As I am sure that many countries will follow if they become successful to their plan.

It is a bold step Argentina is taking in adopting the use of bitcoin but I will like to know how would bitcoin adoption stop the inflation. Anyway adopting the use of bitcoin will surely have a positive effect and am sure it will also motivate neighbouring countries to see the benefits of bitcoin usage.

I have also read as some users who already posted here that many more countries rather than the ones mentioned are going to at least try to make Bitcoin their countries currency.
Nevertheless Crypto is volatile and unpredictable. If it reaches top bottom their economy will follow the same pattern which becomes bad for each private economy and even those linked to those specific countries.

What actually happens in Venezuela is that they buy what they can the same day they get paid and they try to hold US dollars instead of their currency. This happened in Argentina too back in 2000. USD is accepted by almost everyone. Bitcoin isn't. That's the facts.

This will not occur unless the country also adopts Austrian economics and boots all the chicago/keynesians that keep misleading things there.

Simple reason is they FEAR deflation, due to their flawed thinking. There is no way a country would adopt any deflationary currency without also going full Austrian. For starters, go with full reserve banking and close the central bank, you don't need that anymore once you adopt Bitcoin AND full reserve banking.

The only reason things are worsening AGAIN, is because AGAIN a fool politician gave the order to print more money. Never ever again, separate money from State or else sooner or later it will happen.

But as you might have guessed some things are so entrenched you might even need to change the constitution and banking laws, among many other things. You should invite the Spanish Jesús Huerta de Soto, a living Austrian, to give advice to Mauricio Macri. Then you could save the country...

Before making a tough decision to fully adopt bitcoin as a  major currency in Argentina, I seriously do hope they are sure bitcoin adoption will help solve the inflation issue the country is currently facing. Anyway, bitcoin adoption is a welcomed idea and am sure it will attract so many investors in the country and also people around the world.

That's why we need this market because bitcoin can beat inflation and bitcoin will make financial system more stable I believe. Government is the main reason why inflation are increasing, they need to do that. Inflation will stay that's why we need to look for a good investments like bitcoin and stocks, Argentina is a nice country its people have now more good option where to put their money and earn some bitcoin.

Surely do, if this moved will works more country will also follow this way, government of each nation's will find interest, it will be determined if this first country to consider will succeed from this attempt,a very good news for every crytpo believers and investors.

It is still hard for the Argentinian people to accept a crypto currency in their country with it's volatility rate. Seeing normal traders of goods at the market using Bitcoin as mode of exchange, how would that seem possible? Every moment then and on they must constantly check the price to match the amount that should be paid to their goods. I think a possibly that the country should adapt the Blockchain tech and make their own cyrpto currency, this should be done for all the countries with increasing inflation rate.

It is amazing if ever Argentina is the first country who make bitcoin as a main currency. And if happen in the near future other country will inspired by Argentina. It can make the country progressive and more accessable in terms of payment system and good investment venture that all netizens of that country will benefited.

In developed countries we tend to take stable fiat currencies for granted, and forget that in much of the world people don't know if their paper money will have any value next week, month, or year. Thus, while bitcoin is still highly volatile, its value tends to go up in the long run, making it an attractive alternative in much of the developing world.

Adopting bitcoin is surely a good move. It will help alot of people to sustain their needs. However, it will not reduced their rate of inflation. They can solve it by adding the salary of the people and that is the normal thing to do. But they can't just live their currency since it is an economics crisis.

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.

Countries like Argentina, Venezuela etc which are basically facing an economic crisis right now are already using Bitcoin as one of the primary forms of payment since quite sometime.

Why else do you think LocalBitcoins volume is 2nd highest in Venezuela? Adoption is rising with time and I am loving it.

I remember Tim Draper encouraging the Argentinian president on accepting bitcoin and crypto-related institutions and services within the country to boos the economy of the nation. With the Peso continuing to slide further from an acceptable value, bitcoin seem to be a viable option for citizens to adopt and use within their daily transactions, just like what's happening in Venezuela right now. In cases like these, we can see how well bitcoin is useful since it can be used as a hedge on countries where economic instability remains rampant, and the national currency's value keeps on suffering for such events.

first of all when a country is hit with inflation majority of people don't look to bitcoin, and many who were aware of it are still not going to take the high risk of converting their fiat to bitcoin. there are lots of other options (simplest and most common one is gold) that they use. so you can't say "Argentinians are turning to bitcoin" in general and leave it at that.

secondly if they were doing that then price should have gone up with a big surge which clearly has not.


Google trends do NOT indicate anything!!!

Yep, I remember Tim Draper talking to the President and whispering that bitcoin should be treated as a local currency because their fiat has not value at all.

Anyways, it makes sense that people are going nuts on bitcoin either as hedge or just a means to survived.

It was also reported that bitcoin has been reaching records high in localbitcoins volume, indicative that Venezuelan's are turning into bitcoin as we speak.

Why do people in this country choose Bitcoin as an alternative currency? But it is significant that this is excellent news as it is pushing people closer to Bitcoin. I think everyone in this country should choose USDT because of its stability and 's Stable coin.

This trend is not only in Argentina, but also in Bolivia and many other countries that are in crisis at the moment. And the past few years, this trend has only intensified. And this despite the fact that cryptocurrencies have fallen dramatically in price in 2018. This confirms the fact that people in many countries of the world continue to believe in cryptocurrencies and see them as a perspective. It seems to me that the development of cryptocurrency strongly inhibits the actions of regulators from different countries and the uncertainty regarding the interaction of cryptocurrency with the existing financial system. As soon as there are clear rules of the game, big money will enter the market and we will see a new bull market.

Argentina economic crisis have been on the increase with they inflation rate rising above 50% it definitely time to look for a way out of this economic war and cryptocurrency is the alternative to the failed traditional currency in that nation.

They are 55th on the google trend :/ Do they use other search engine?

Interesting, if ever Argentina would be the first country to make bitcoin as it's main currency. But, the question is will this really help solve the inflation. What will be the total effect of making bitcoin as their currency once the market crashes drastically (knowing that crypto market is volatile.)

Argentina's inflation has hit 55% this year, caused by a collapse in confidence in the peso. As a result, Argentinians are turning to bitcoin as a hedge to further monetary collapse. No matter what the central bank does, inflation continues to rise. Notably, Tim Draper met with the president of Argentina some time ago and suggested the country adopt bitcoin as the national currency.

https://bitcoinist.com/argentina-central-bank-inflation-bitcoin/