2013-03-13 Zerohedge : Argentines Escaping Capital Controls With Bitcoins

[labestiol]

http://www.zerohedge.com/news/2013-03-13/guest-post-argentines-escaping-capital-controls-bitcoins
http://www.sovereignman.com/offshore/argentines-escaping-currency-controls-with-bitcoins-11192/

My friend Sir Charles at PricedinGold.com wrote me this morning from Argentina's Salta province (near Doug Casey's lovely property in Cafayate) and told me that TEA Turismo, a local tour operator and rental car agency there has started accepting BITCOINS.

If you're not familiar, bitcoins are digital currency units that are not controlled by any government. Bitcoins can be exchanged for goods, services, and other currencies, privately and anonymously.

For obvious reasons, Bitcoins are becoming increasingly popular in Argentina as people seek any means necessary to survive the economic destruction.

3rd article in 2 days  

[TraderTimm]

I'm going to need a new keyboard after all these bitcoin articles on ZH.

Oh well, time to get some dinner and maybe jump into the fray later.

[labestiol]

I'm going to need a new keyboard after all these bitcoin articles on ZH.

Oh well, time to get some dinner and maybe jump into the fray later.

I'll stop arguing with ZH trolls now. We won, one of the Tylers has to be invested and will do all the work for us  

[Raoul Duke]

I'm going to need a new keyboard after all these bitcoin articles on ZH.

I heard BitcoinStore has some cheap USB keyboards for sale

[cypherdoc]

I'm going to need a new keyboard after all these bitcoin articles on ZH.

Oh well, time to get some dinner and maybe jump into the fray later.

hey, no time for dinner.  quit slacking and get in there! 

[rudrigorc2]

great news. awesome newsletter

[Spaceman_Spiff]

I'm going to need a new keyboard after all these bitcoin articles on ZH.

Oh well, time to get some dinner and maybe jump into the fray later.

You tend to do a fine job giving good information in a polite manner.
Some of the other pro-bitcoiners on ZH tend to just sling faeces back and forth between Xenofrog and the likes...

[Haole]

Some of the other pro-bitcoiners on ZH tend to just sling faeces back and forth between Xenofrog and the likes...

You rang?  

My thing with XenoFrog began with 9/11 discussions and if you had read any of the shill-o-liscious BS she's been responsible for aside from BTC discussios you might have a better understanding of where my personal disgust comes from for this idiot/paid shill/whatever it is.

As I've said over there, most of the sharp minds have left that site or do not comment anymore.  The comments section has been subverted by self-reinforcing programming and the Bitcoin threads of late are simply the wax seal on the demise.  Still love the news but the comments sections are virtually worthless and a waste of time.  Or maybe you haven't grown tired of the skipping records and doomtards over there saying "fuck you Bernenke", "if you don't hold it you don't own it" or gold, bitchez", etc. for the 580,000th time..?  

Nevertheless, perhaps it's true in this case that there is no such thing as bad publicity?

Nice job over there Tim! I don't know how guys like you, Half_A_Billion, etc. even want to discuss it anymore.  They're lucky to have guys like you.

[xcsler]

Haole, Labestiol and TT: I've read every ZH Bitcooin comment over the past few days. You guys, along with Half_a_billion have been doing a great job. I suspect that you have enlighted a few ZHers despite the vitriol. Keep up the good work!

[Entropy-uc]

This dodging capital controls with Bitcoin is going to drive the price to stunning levels.

Imagine you are in Venezuela and you know the currency has to be devalued another 150% shortly.  You have access to foreign currency, but it can be seized by the banks as part of the devaluation.

So you move your liquid wealth into a paper wallet, and wait for the return of a hard local currency.

[gradient vector]

Things like this will help silence the gold bugs and all the "no tangible value" critics. Well, maybe not completely.

[n8rwJeTt8TrrLKPa55eU]

Things like this will help silence the gold bugs and all the "no tangible value" critics. Well, maybe not completely.

Yes.  Contrary to the recalcitrant ZH goldbug narrative, anyone who has ever visited Argentina knows that gold is rather illiquid there, definitely not money or even a useful medium of exchange, and silver is not even on the radar.  At best it's a store of value used by a savy and tiny minority.  Argentina went off the gold standard in the 19th century, there isn't even a vestigial memory of gold as money for most people under 50.  There are no corner coin shops or big online dealers to provide liquidity.

The favored alternative currency by far is USD, with EUR a distant second.  Ease of use and network effects trump everything else.  And that's why I expect that Bitcoin, and only Bitcoin, has a realistic chance of unseating USD for black market transactions in the 3rd world.  Being tangible is not an advantage, it's a flaw except in extreme apocalyptic circumstances.  That's why any non-idiot goldbug will inevitably grasp the necessity of saving in metals and BTC.

[Piper67]

Things like this will help silence the gold bugs and all the "no tangible value" critics. Well, maybe not completely.

Yes.  Contrary to the recalcitrant ZH goldbug narrative, anyone who has ever visited Argentina knows that gold is rather illiquid there, definitely not money or even a useful medium of exchange, and silver is not even on the radar.  At best it's a store of value used by a savy and tiny minority.  Argentina went off the gold standard in the 19th century, there isn't even a vestigial memory of gold as money for most people under 50.  There are no corner coin shops or big online dealers to provide liquidity.

The favored alternative currency by far is USD, with EUR a distant second.  Ease of use and network effects trump everything else.  And that's why I expect that Bitcoin, and only Bitcoin, has a realistic chance of unseating USD for black market transactions in the 3rd world.  Being tangible is not an advantage, it's a flaw except in extreme apocalyptic circumstances.  That's why any non-idiot goldbug will inevitably grasp the necessity of saving in metals and BTC.

Someone I know sends money to their family in Argentina all the time. Used to do it via the banks, losing about 25% in the process due to the difference between the "official" rate of exchange and the actual one. Switched to Bitcoins now for the last few months and singing its praises.

[Spaceman_Spiff]

Things like this will help silence the gold bugs and all the "no tangible value" critics. Well, maybe not completely.

Yes.  Contrary to the recalcitrant ZH goldbug narrative, anyone who has ever visited Argentina knows that gold is rather illiquid there, definitely not money or even a useful medium of exchange, and silver is not even on the radar.  At best it's a store of value used by a savy and tiny minority.  Argentina went off the gold standard in the 19th century, there isn't even a vestigial memory of gold as money for most people under 50.  There are no corner coin shops or big online dealers to provide liquidity.

The favored alternative currency by far is USD, with EUR a distant second.  Ease of use and network effects trump everything else.  And that's why I expect that Bitcoin, and only Bitcoin, has a realistic chance of unseating USD for black market transactions in the 3rd world.  Being tangible is not an advantage, it's a flaw except in extreme apocalyptic circumstances.  That's why any non-idiot goldbug will inevitably grasp the necessity of saving in metals and BTC.

Someone I know sends money to their family in Argentina all the time. Used to do it via the banks, losing about 25% in the process due to the difference between the "official" rate of exchange and the actual one. Switched to Bitcoins now for the last few months and singing its praises.

That is bitcoin at its best !

[majamalu]

Someone I know sends money to their family in Argentina all the time. Used to do it via the banks, losing about 25% in the process due to the difference between the "official" rate of exchange and the actual one. Switched to Bitcoins now for the last few months and singing its praises.

Now the difference is almost 60%.