Why Latin American economies are turning to bitcoin

[Blackmet]

Maybe they have a low price on electricity and it's a good for mining also they trying to find a money for living cause a lot unempoyment people there.

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[Zeke2345]

For bitcoin to really take off we would need to have access to the internet,which in some parts of South America is limited,like Africa.
I know Zukerburg is trying to bring internet to Africa,hopefully South America is next,I do realize the logistics is different with the mountains but man it would help people out. Internet access and then bitcoin use would have to sneak in quickly behind.
Imagine it would get rid of a lot of the infighting that happens over coup attempts and elections.

[Pab]

Are thay really most of Latin America countrys hve very weak currencys and high inflation
But be realistic bicoin has to to small liquidity to solve his problems

[West man]

For bitcoin to really take off we would need to have access to the internet,which in some parts of South America is limited,like Africa.
I know Zukerburg is trying to bring internet to Africa,hopefully South America is next,I do realize the logistics is different with the mountains but man it would help people out. Internet access and then bitcoin use would have to sneak in quickly behind.
Imagine it would get rid of a lot of the infighting that happens over coup attempts and elections.

They have bigger problems then having a need for bitcoin right now. Like food and healthcare.
Obama visit to most of the bigger South American countries this week has shown that. Cuba is so close to the US it is a surprise the way they are the way they are now without any North American influence.

[botany]

For bitcoin to really take off we would need to have access to the internet,which in some parts of South America is limited,like Africa.
I know Zukerburg is trying to bring internet to Africa,hopefully South America is next,I do realize the logistics is different with the mountains but man it would help people out. Internet access and then bitcoin use would have to sneak in quickly behind.
Imagine it would get rid of a lot of the infighting that happens over coup attempts and elections.

They have bigger problems then having a need for bitcoin right now. Like food and healthcare.
Obama visit to most of the bigger South American countries this week has shown that. Cuba is so close to the US it is a surprise the way they are the way they are now without any North American influence.

People need to ensure that the value of their money doesn't diminish rapidly. People don't "need" Bitcoin. It just is a way to escape the government taking wealth away from the people through inflation. Expect Latin American governments to crack down hard on Bitcoin. Venezuela is already leading the way.

[mayax]

For bitcoin to really take off we would need to have access to the internet,which in some parts of South America is limited,like Africa.
I know Zukerburg is trying to bring internet to Africa,hopefully South America is next,I do realize the logistics is different with the mountains but man it would help people out. Internet access and then bitcoin use would have to sneak in quickly behind.
Imagine it would get rid of a lot of the infighting that happens over coup attempts and elections.

They have bigger problems then having a need for bitcoin right now. Like food and healthcare.
Obama visit to most of the bigger South American countries this week has shown that. Cuba is so close to the US it is a surprise the way they are the way they are now without any North American influence.

People need to ensure that the value of their money doesn't diminish rapidly. People don't "need" Bitcoin. It just is a way to escape the government taking wealth away from the people through inflation. Expect Latin American governments to crack down hard on Bitcoin. Venezuela is already leading the way.

  Nobody is turning to Bitcoin. Where do you see that?Venezuela  is arresting people for using Bitcoin. Get lost .  

https://www.cryptocoinsnews.com/report-two-venezuelans-arrested-mining-bitcoin/

[Arcteryx]

This is why bitcoin will not completely be accepted in all the corners of the world. Authoritative countries such as this that are making criminals out of miners or people who are wanting to use bitcoin such as in Russia where they are banning it's use and will probably arrest people who they are suspecting that are using it. Can't believe in this day and age that you have to go underground to use a technology that can help people out in their daily lives.

[botany]

For bitcoin to really take off we would need to have access to the internet,which in some parts of South America is limited,like Africa.
I know Zukerburg is trying to bring internet to Africa,hopefully South America is next,I do realize the logistics is different with the mountains but man it would help people out. Internet access and then bitcoin use would have to sneak in quickly behind.
Imagine it would get rid of a lot of the infighting that happens over coup attempts and elections.

They have bigger problems then having a need for bitcoin right now. Like food and healthcare.
Obama visit to most of the bigger South American countries this week has shown that. Cuba is so close to the US it is a surprise the way they are the way they are now without any North American influence.

People need to ensure that the value of their money doesn't diminish rapidly. People don't "need" Bitcoin. It just is a way to escape the government taking wealth away from the people through inflation. Expect Latin American governments to crack down hard on Bitcoin. Venezuela is already leading the way.

  Nobody is turning to Bitcoin. Where do you see that?Venezuela  is arresting people for using Bitcoin. Get lost .  

https://www.cryptocoinsnews.com/report-two-venezuelans-arrested-mining-bitcoin/

Venezuela is arresting people because Bitcoin is getting more popular.
Have a look at the volume trend.

[European Central Bank]

That sounds good, but are they? I think if any significant part of a country, or even the rich in a country, decided to 'turn to Bitcoin' the price would be much higher than it is now.

I hear ya. The headline should really read why a couple of thousand of latin americans are turning to bitcoin.

[KoinKartel]

That sounds good, but are they? I think if any significant part of a country, or even the rich in a country, decided to 'turn to Bitcoin' the price would be much higher than it is now.

You're equating supply and demand with price

REVELATION: Supply and demand doesn't apply to trading

Let's say AAPL stock goes up 90% in a 12 month time span, is this because "traders" decided to buy apple stock en-masse and drive up the price? The short answer is NO. Any stock that jumps 90%+ in a year only does so when Goldman Sachs and/or any of the other investment banks instruct their market makers to "buy the sell side."

They push billions into the sell side over several months (sometimes several years), and then collect two times their money (or more) when they begin to sell onto the buy side over the following months/years.

Worldwide, banks are failing... BUT - Gold is plunging in price - when, "usually," Gold has an inverse relationship with global financial disorder... "Usually" when the economy is on the brink of destruction, Gold is "supposed" to rally.. Right?

But based on what I described above, about investment banks and their role in price manipulation... Ask yourself, how much money would it take for the price fixers to "buy the sell side" and push the price of Gold up? Billions?... Trillions?... Quadrillions? They don't have the money.

Why don't they have the money? Because they have already done their buying... and what comes after buying? ..Selling!

So despite the financial disorder that we are seeing worldwide, the price of gold is going down... what does this mean? Is it the "traders" that are selling because they are so wise that they are finally willing to go against "the crowd" and against the common cliche that dictates that when the banks are failing and interest rates are jumping, then gold "always" goes to the moon?  

Well no, actually "traders" are still placing their buy orders - because they have been programmed over the last ten years to "perceive" gold as a hedge against financial crisis. So they are still actually trying to "get in cheap,"  but the price just keeps on falling

Why is this?

It's because Goldman and The London Gold Price Fixing Company etc have spent the last 10 years "buying the sell side" and putting trillions into pushing up the price. So, they are now taking their profits by selling onto the buy side, and will be doing so over the next several years - hence, the need for BITCOIN, which has been dubbed "digital gold"

So thousands, hundreds of thousands or even millions of latin americans may have joined the Bitcoin economy... But the price per BTC does not have to reflect this, and will not reflect this since price is not tied to supply and demand

[knowhow]

Well their own currencies sucks,having bitcoin,will mean have something like gold,or the strongests fiat,being dollar euro or others,this are very strong and almost stable at their values,soo i believe this is what people are investing at bitcoin ,to protect their capital at euro/dollar.

[OROBTC]

Well their own currencies sucks,having bitcoin,will mean have something like gold,or the strongests fiat,being dollar euro or others,this are very strong and almost stable at their values,soo i believe this is what people are investing at bitcoin ,to protect their capital at euro/dollar.

OK, I hear you, but...:

1) Latins "down there" have to be able to buy & hold Bitcoin.  That is very hard in most cases, for various reasons.

2) Prospective Latin buyers need to feel confident that they can spend their BTC when they need to, it's hard to spend BTC in LatAm.

3) Bitcoin is still a tad too technical.  If it's hard for it to catch on (massively) in Europe & the USA, well...

The above comments, of course, may be subject to change.  I wish Latin Americans well (and hope BTC is an answer for many) who are in crappy authoritarian places with bad money.

[blanchwood]

Well their own currencies sucks,having bitcoin,will mean have something like gold,or the strongests fiat,being dollar euro or others,this are very strong and almost stable at their values,soo i believe this is what people are investing at bitcoin ,to protect their capital at euro/dollar.

OK, I hear you, but...:

1) Latins "down there" have to be able to buy & hold Bitcoin.  That is very hard in most cases, for various reasons.

2) Prospective Latin buyers need to feel confident that they can spend their BTC when they need to, it's hard to spend BTC in LatAm.

3) Bitcoin is still a tad too technical.  If it's hard for it to catch on (massively) in Europe & the USA, well...

The above comments, of course, may be subject to change.  I wish Latin Americans well (and hope BTC is an answer for many) who are in crappy authoritarian places with bad money.

Sorry knowhow, but here in South America people couldn't care less about euro/dollar protection by buying btcoins. I live in Brazil and here bitcoins (and altcoins for that matter) are only (for now) for investment (sell high, buy low). We dont have plenty physical stores that accept bitcoins.

Some people buy stuff on internet using bitcoins, but its like 0.5% of the market.

OROBTC:

1) yes, thats right.

2) yes, thats right, but like i said, the core utility of bitcoins "down here" is speculate.

3) i agree with you.


About Venezuela: venezuela is the highest inflaction on south america for several reasons, i think what knowhow said is more applied to venezuela's case. Not only that, but venezuela has the cheapest energy in the continent, some south american miners go to venezuela to mining bitcoins.


p.s: sorry for my bad english.

[HeroCat]

It is much cheaper than make own crypto, so they use Bitcoin with whole network. All Latin American countries are always thinking to get something without costs. 

[Wendigo]

Perhaps the prevalent corruption among the Latin American governments and the high inflation rate force people to search for an alternative to their local currencies that have decreasing buying power every year and Bitcoin is the perfect digital currency which is relatively stable, out of the reach of corrupted officials and can be moved stealthy around.

[OROBTC]

Perhaps the prevalent corruption among the Latin American governments and the high inflation rate force people to search for an alternative to their local currencies that have decreasing buying power every year and Bitcoin is the perfect digital currency which is relatively stable, out of the reach of corrupted officials and can be moved stealthy around.

Wendigo

You have nicely written up the future of Bitcoin in Latin America.  I think the future is good, but not certain, in LatAm for Bitcoin.  A lot can happen, and BTC is likely to do fine, but who really knows.  YES, Bitcoin is a good defense against corruption and wealth confiscation.

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blanchwood

Your English is just fine, don't worry.

Bitcoin in LatAm seems to have two main roles now:

1) Defense against .gov destruction of wealth, also (similarly) as a means of guarding and moving capital past controls...

2) Speculation, yes, I did not know that, but it makes sense.  But, probably speculation with the idea of preserving your capital.

If you JUST want to speculate, well you can always have a poker game with your friends or shoot some dice...   

[mayax]

It is much cheaper than make own crypto, so they use Bitcoin with whole network. All Latin American countries are always thinking to get something without costs. 

don't you want the same?   Yes, you do.

[Zuminest]

Bitcoin empowers Latin American entrepreneurs to tap into a truly global market by permitting them to accept payments from customers anywhere in the world without facing exorbitant cross-border transaction fees..
bitcoin would free up hundreds of millions of incremental dollars annually in Latin American economies.. so the Latin American economies are turning to bitcoin..

[West man]

Argentina's new presiente is nuts as I saw on 60 mintues tonight 

Guess what about this president has done really bad things with off-shoring money from the country that is crumbling under his feet according to the Panama Papers just released today.
Also naming a many other high ranking government officials of sending their countries moneys in large sums to off-shore accounts to hide from the countries treasury departments.

[mrhelpful]

Maybe they have a low price on electricity and it's a good for mining also they trying to find a money for living cause a lot unempoyment people there.

Its only logical if the costs are cheap.

And it just means they just need the hardware to do it pretty much, which they can do collectively if they all invested together.

And have a similar setup like in china.