Topic: The uses for Cryptocurrency in places where fiat currency cannot be used - page 2. (Read 267 times)

How sure are you on Zimbabwe adopting to the use of cryptocurrency?  please provide the link to the source of your information regarding this. It will be of much help to make majority of us understand...

If Venezuela and Zimbabwe become successful in Cryptocurrency as an alternative way to transact other their own or local currency, many people with the same situation as these countries can adopt these measures, and it will greatly enhance the uses of Cryptocurrency where their currency fails to deliver, we something to watch on these two countries.

World economy is now facing the worst of all time. Here the grown nations as well as the developing nations were not an exception. There are countries that have gone economically down due to lack of management and corruption. For the same they haven't moved to cryptocurrencies.
Zimbabwe and Venezuela people have begun to use cryptocurrencies higher than the past, but there is nothing like the progress of cryptocurrency is growing much high eliminating the usage of fiat. Zimbabwe suffered economic collapse years back and experts gave suggestion for bitcoin adoption which might help in the recovery within certain number of years, and that hasn't encouraged much big level of usage, growth, acceptance as Op mentioned.

This is true. But it's not the only thing. Another thing that comes to my mind is that cryptocurrency can offer money that cannot be faked. Unfortunately, no matter how sophisticated the methods of verifying cash become, it can still be faked, and it will never reach such precision as cryptos already have thanks to blockchain.
As for the idea of the op, I am not sure about cryptos and countries with such serious economical troubles. Could cryptos help? In a way, but they are still really volatile. Moreover, it can become expensive to use cryptos as more people do it, and expensive transactions are not something a very poor person can afford. Not to mention that cryptos require electronic devices that might not be available for such people. Apart from that, cryptos can only help preserve some money these people still have, but not actually help to survive unless people can pay for food and utilities with their Bitcoin, so to speak.

Petro currency is a joke, with whitepaper full of inconsistencies and turned out to be a clone of the Dash cryptocurrency.

The populist - socialist party with ties to Maduro tried to introduce a similar project in Ecuador. Thankfully, the masses said "no way". The problem here is not crypto, but the quality and honesty (or lack of) of the governments (whether they want to promote their own shady crypto-project, or ban/talk bad of crypto in general to protect their own interests)

It will be a very effective way of gaining adoption through the grassroots level, there are millions of unbanked people around the world who do not have access to any financial institution such people needs an alternative way to transact and crypto can solve that problem for them, only that most unbanked people might have a little issue understanding how to use it, but idea is great.

What cryptocurrency do, I believe fiat currency can do except for being decentralized. Fiat currency is a government issued currency after all.  The country stated by OP may have a record of increasing cryptocurrency adoption but I believe only a few of them are into cryptocurrency.  We can check their demography and see if majority of the citizen have the capability to buy and transact in cryptocurrency.  Another thing is the availability of internet on that region.  I would be surprised if the stated country will have wifi everywhere beating those developed country in terms of internet coverage.  So using cryptocurrency in places like that would be much more expensive than just using fiat currency local currency or foreign currency.  In short, it is more economical to use fiat currency in state like Zimbabwe.    I wonder why OP thinks that this kind of thing can't be done in fiat currency (trading and inter person transactions).


Did the government of Zimbabwe issued a decree to use Cryptocurrency because their own currency is unusable?  May I have  a link of this?

It think you might got your  tittle  wrong but in my there is no way national  currency  can not  be spend in that  national .  when a country is facing financial crisis not mean  their currency  useless , country  like Zimbabwe and Venezuela is using their national currency  but when  inflation happen, that  country always depends on foreign currencies.  and bitcoin is global  currency  which  makes it easy  to  transfer and secured. so it   good  for you to keep  bitcoin when u are living in such  country  just  to  make it  easy  for you do  international  transaction like buying product online  because Most  bank in this country dont have enough foreign currency  for such  transactions .. In country  Ghana most  people use to  investor their money  into  USD but our national currency  has  real value too.    

Cryptos can very well be used in the countries with troubled economies. But those  cryptos have to be bught from the free market and not the one created by their government. That will lead to even bigger failure. Take example of Venezuela and petro currency. Both The petro and Venezuela's economy are big failures. It will only make sense if those cryptos are directly bought from the market using strong currencies like USD, EUR etc. This way we can seclude the crypto market from the risk of their weak economy and the influences of their corrupt governments!

All the problems with national money that you pointed out on the examples of Zimbabwe and Venezuela are connected with the growth of inflation of this money. This is mainly due to the inefficient management of the state economy by governments. However, this is not a common systemic problem of national money. Cryptocurrency can currently help people avoid the effects of rising inflation in the country, since the price in the cryptocurrency market does not depend on the price of the national currency of a particular state. However, until cryptocurrency has become a generally accepted means of payment, it will take some more time.

I have low confidence about Zimbabwe has used cryptocurrency.
There is country where inflation is very high, so for using cryptocurrency like Bitcoin you need computer and internet. The price is expensive and also they are poor in education.
So if they use Bitcoin, how to transfer and exchange. I think that's hard.
But don't know if there is already adopt cryptocurrency, i'm late news about them.

not sure about that because the crisis in Zimbabwe was a longtime ago. they must have resolved those problems already.

cryptocurrency are just an option to them but basically the fiat works for all. i doubt there will be more merchants accepting crypto than fiat even if the government encourages to accept crypto. the value of cryptocurrencies aren't as stable as the fiat, those grocery owners will most likely pick fiat over btc.

There is actually one thing I can think of that cryptocurrencies does perfectly well (at times) that fiat can't in its 50 years of existence: hold actual value. Sure, crypto can be one hell of a roller coaster ride, but despite all the crashes and burns it takes, it still is a good store of value over time, just look at bitcoin for example. Side by side with gold and fiat, only bitcoin and gold managed to get a hold of value for the past 10 years, meanwhile fiat continues on a downhill slope no matter how good the global economy performs.

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I'd love to read some article stating this honestly. Zimbabwe may have been in a rather unstable state due to the massive devaluation of their currency, but there's little to almost no usage of cryptocurrencies in the country considering how poor the people in there are, plus the fact that most services and stores are still alienated by the concept of cryptocurrencies.

I dont think theres anything a cryptocurrency can do that fiat cant do. Of course, removing the decentralized system of transaction of crypto, anything it can do is basically what fiat could also do. And besides, due to the limited adoption of crypto around the globe, crypto itself is limited and could not perform as well as fiat as a type of currency used. All because of the lack of adoption of it.

a currency is only unusable if they went to grocery store and couldn't pay for groceries with their fiat. are you trying to say that there is a country (Zimbabwe?) that people can't do what i just said?

do you have any actual proof for this? specially since you are using the term "cryptocurrency" not bitcoin!

In countries that you mentioned Zimbabwe and Valenzuela are countries wherein monetary inflation is a trend. They overproduced and overprint money but still their money has no or less value. There maybe other countries like them but I am in line with your concept that cryptocurrency will be the solution to their monetary and economic problems. If people in valenzuela have placed their money on bitcoins then when their country is in economic crisis and food shortage they can just go to other countries and live there using your saved bitcoins.

Nowadays the world’s economy seems to be stable in a majority of the developed nations. However, for some of the less developed nations their economies are not doing so well compared to the more developed nations. In these countries, their economies might not be going so well due to conflicts in the regions, mismanagement by their governments and sometimes in the worst-case scenarios corruption by their respective governments.

In such cases, the value of their currencies is not very high in the global economy or in some cases such as Zimbabwe, are worthless to use for transactions. While some people in those countries just use trusted currencies such as the US Dollar as it is trusted by people worldwide, there is another alternative: cryptocurrency.

Considering that their currency is basically unusable, Zimbabwe has adopted cryptocurrencies as a means of trade especially after their banks wouldn’t allow them to make transactions using foreign currency. So far the use of cryptocurrencies there is rising and it probably won’t stop until they fix their economy. This shows that cryptocurrencies can help countries that have problems with their currency.

Another example would be Venezuela. As we know now, the region is rather unstable with their economy not doing so well, however, some of the people there are able to get by using cryptocurrencies which further proves that cryptocurrencies can greatly benefit places with economic difficulties.