Hyperinflation in Venezuela has led to intense volumes of bitcoin trading in the country. The developments follow the Maduro government’s decision to hike the minimum wage sixty-fold and the IMF’s announcement that the country’s rate of inflation will hit over 1.3 million percent this year.
Venezuela’s rate of inflation will hit a remarkable 1,370,000% for 2018, according to the IMF. The hyperinflation and seemingly endless dive into economic crisis in the country have triggered record volumes of exchange, where Venezuelans are trading in their bolivares for bitcoins.
According to Coin Dance, more than 930 million bolivares were sold this week on LocalBitcoin, and last week 830 million bolivares were sold.
Inflation was expected to hit 1 million percent just a few months ago, but the IMF changed its forecast as the Maduro government forced a sixty-fold increase in the country’s minimum wage. As a result of the delusional economic policymaking of the Maduro government, the IMF is already anticipating inflation to hit 10 million percent by the end of 2019.
The intensified bitcoin trading has come just a few weeks before Venezuela introduces the public sale of its Petro cryptocurrency.
Maduro noted on television last week that, “If you have bitcoins you can buy Petros, if you have Ethereum you can buy Petros, if you have dollars or euros you can buy Petros. And from November 5, the Petro … will go on sale to the Venezuelan public in sovereign bolivars.”
When Maduro announced the change in the country’s permitted minimum wage, he also encouraged the people of Venezuela to prepare to invest in gold and the Petro.
The Petro is cause for skepticism
An investigative piece in Wired from August accused the Maduro government of fabricating a “scam on top of another scam” with its release of the Petro cryptocurrency.
The Petro has attracted suspicion because of its alleged backing by the Venezuelan state oil company that has more substantial debts that the cryptocurrency’s market cap.
Maduro seems unfazed by allegations that the cryptocurrency is a total scam. In the same television interview, he encouraged Venezuelans to invest in it to help “strengthen the family economy.”
With Venezuela’s economy in an unstoppable free fall and hyperinflation only set to intensify, Venezuelans will only grow more impoverished – cryptocurrencies should not be seen as the solution to save the country’s economic woes.
Related post:
Venezuela’s President Promotes Crypto In Attempt to Prevent Economy Collapse
I have seen a lot of useful issues on your internet site about computers. However, I’ve got the thoughts and opinions that laptops are still not quite powerful sufficiently to be a good option if you typically do projects that require a great deal of power, such as video enhancing. But for web surfing, word processing, and many other popular computer work they are fine, provided you can’t mind small screen size. Thanks for sharing your opinions.
One other issue is when you are in a situation where you do not have a co-signer then you may want to try to wear out all of your money for college options. You can find many grants or loans and other grants that will ensure that you get funds to support with classes expenses. Thanks a lot for the post.
I do not even know how I ended up here, but I thought this post was good. I don’t know who you are but certainly you’re going to a famous blogger if you are not already 😉 Cheers!
Great blog here! Also your web site loads up fast! What web host are you using? Can I get your affiliate link to your host? I wish my web site loaded up as quickly as yours lol
azithromycin for sale order azithromycin 250mg for sale generic neurontin 800mg
I have read some good stuff here. Certainly worth bookmarking for revisiting. I wonder how much effort you put to make such a wonderful informative web site.
I have viewed that intelligent real estate agents all around you are Advertising. They are realizing that it’s not just placing a sign post in the front place. It’s really with regards to building associations with these sellers who sooner or later will become customers. So, whenever you give your time and energy to helping these vendors go it alone – the “Law regarding Reciprocity” kicks in. Thanks for your blog post.
Hi, i believe that i saw you visited my weblog so i got here to ?go back the favor?.I’m attempting to to find things to enhance my site!I suppose its adequate to make use of some of your ideas!!
The buying process at amcauto.co was fast and easy. I was able to get behind the wheel of my new truck in no time!
I believe that a foreclosed can have a important effect on the debtor’s life. Property foreclosures can have a Several to few years negative effects on a debtor’s credit report. The borrower that has applied for a mortgage or just about any loans as an example, knows that a worse credit rating is actually, the more complicated it is to secure a decent personal loan. In addition, it can affect any borrower’s power to find a really good place to let or rent, if that gets to be the alternative property solution. Good blog post.