Four countries worldwide impose demand for Bitcoin.
The world economy is currently facing a huge change as many countries are laden with massive debts, scarce resources and fiduciary currencies that do not work. Many banks around the world are doubling as central banks try to fix markets by printing large sums of money and lowering interest rates. However, more and more global citizens are finding a “refuge” from this turbulent economy within bitcoin. Here is a list of four countries to see how some of them could trigger a significant race toward decentralized cryptocurrency.
After the year 2000, Zimbabwe’s economy fell like a rock as citizens experienced widespread turbulence. From 2003 to 2009 the country experienced hyperinflation as the Zimbabwe dollar became useless. Since then, citizens of the country have used multiple types of national fiduciary currencies, such as the yuan and the US dollar.
More recently, Zimbabwe’s banking system has created new bond notes that local businesses and the general public are wary of. The new bond notes that have just begun to circulate are said to be “incentives,” a local said. Taedzwa Chikono explained the situation by stating the following:
“The whole nation has been deceived again! They say that Bond is not money, but an incentive given to exporters, but it is curious how the currency introduced primarily to be a means to pay export incentives has not come to the exporters hands of and is already being issued to the general population. The bond is being dispersed through the ATM machines across the country! A currency is based on trust and confidence not the lies and deceit behind this note Of bonds! “
Bitcoin’s adoption in India is on the rise as the country’s demonetization efforts have rocked the economy. Last month, Prime Minister Narendra Modi cut rupees with high denomination of circulation. Since then, the public has been in a state of shock and there has been a major cash crisis in the region. With 500 and 1000 rupees denomination out of the system, Indian officials believe that the public and private sector must embrace a cashless society.
India has always been fertile ground for the use of bitcoin as the country has seen significant growth in adoption over the past two years. Since the prohibition of the rupee and after the cash crisis, the demand for cryptocoins has increased exponentially. Exchanges in India have been reporting about $ 100-150 USD higher than most of the global rates. LocalBitcoins volumes have almost doubled in the month of November, and many Indian bitcoin businesses are seeing a record number of transactions.
The Latin American country of Venezuela is currently experiencing difficult economy times. Hyperinflation has hit the earth as the fiduciary currency of the socialist government. The Bolivar, has become almost useless. The citizens of the nation are suffering food shortages and in fact they weigh large piles of bolivars instead of counting the coin. Experts expect the currency’s inflation rate to be more than 700% by the end of 2016. However, things have gotten worse as economists believe the rate of inflation will be a massive 1500% for next year.
The Venezuelan adoption of bitcoin has also been increasing, as many are turning to decentralized cryptocurrency to protect against inflation. LocalBitcoins volumes in Venezuela have been at an all-time high, and other bitcoin businesses are seeing “demand on the rise”.
In addition, Venezuelan residents are also participating in the mining process making a more lucrative life according to a recent editorial. In the report, many Venezuelans describe how they are creating a sustainable underground economy by using mining bitcoins, remittances and other counter-economic methods.
In the past month of July it was reported that Turkish residents who resorted to bitcoin during the country’s recent military coup. Since then, bitcoin adoption in Turkey has been steadily increasing. LocalBitcoins volumes also increased exponentially in November. It is most likely that the popularity of cryptocurrency in Turkey is due to the horrible economy due to the monetary failures of Turkish bureaucrats.
Also the country’s currency the Turkish Lira has lost considerable purchasing power since last year. Recently, Turkish President Recep Erdogan has tried to convince residents to convert their foreign currencies hidden in the Lyre. With turbulent economic times in Turkey, bitcoin is becoming a safe haven and could very well help Turkish citizens.
Disclaimer: This press release is for informational purposes only. Information does not constitute an investment advice or an offer to invest. The views expressed in this article are those of the author and do not necessarily represent infocoin views and should not be attributed to Infocoin.