Bitcoin trading soars in Argentina, Brazil as local currencies weaken

[buwaytress]

Saw a few interviews in Argentina and it seems it is less about the locals buying or sending bitcoin, but people abroad sending them back bitcoin. It's surprisingly similar to southeast asian workers abroad. We used to send home dollars, but euros are a favourite now and apparently, so is bitcoin, at least because it is actually easier to liquidate with local traders!

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[kolbalish]

Saw a few interviews in Argentina and it seems it is less about the locals buying or sending bitcoin, but people abroad sending them back bitcoin. It's surprisingly similar to southeast asian workers abroad. We used to send home dollars, but euros are a favourite now and apparently, so is bitcoin, at least because it is actually easier to liquidate with local traders!

This is the point. I am from Southeast Asia where Bitcoin BTC not approved legally but people are involved with it. The only system exists here is people send dollars from abroad and the native people pay them via bank. Then native people are trying to connect with crypto currency, trade etc.

[exstasie]

Saw a few interviews in Argentina and it seems it is less about the locals buying or sending bitcoin, but people abroad sending them back bitcoin. It's surprisingly similar to southeast asian workers abroad. We used to send home dollars, but euros are a favourite now and apparently, so is bitcoin, at least because it is actually easier to liquidate with local traders!

Every seller has a buyer. If people can receive BTC from abroad and easily turn around and sell it, that indicates pretty robust buy side demand.

Not that I want to exaggerate the size of the market too much. I am always skeptical of these clickbait headlines. Volume has increased at least marginally, certainly when you consider Paxful volumes in addition to Localbitcoins, but it's nothing that impressive.

[buwaytress]

This is the point. I am from Southeast Asia where Bitcoin BTC not approved legally but people are involved with it. The only system exists here is people send dollars from abroad and the native people pay them via bank. Then native people are trying to connect with crypto currency, trade etc.

Yeah, and with the entire Southeast Asia now really embracing p2p, and mostly unafraid to do LBC -- I now see that even foreigners are setting up local bank accounts. Some of the biggest ones have trading accounts in almost every country I can see, a relaxed attitude from the governments certainly help.

Every seller has a buyer. If people can receive BTC from abroad and easily turn around and sell it, that indicates pretty robust buy side demand.

Not that I want to exaggerate the size of the market too much. I am always skeptical of these clickbait headlines. Volume has increased at least marginally, certainly when you consider Paxful volumes in addition to Localbitcoins, but it's nothing that impressive.

Oh absolutely. Though everything is relative. The volumes may look small on a global scale, because they're in USD, but bear in mind that even in Malaysia (second behind Singapore in terms of minimum wage), $200 is more than minimum wage, so the volumes show Bitcoin is really in significant demand here. Take into account a LOT of the trades also happen off books -- Telegram, whatsapp and Wechat, it's also what my preferred traders do after a while for pure P2P  -- and it's no joke at least in the urban areas.

[davinchi]

What is going to happen when all the worlds economies goes worse and worse? I mean we are seeing it right now, even the best economies in the world are still the best in the position and ranking yet they are not as best as 40 years ago, after the second world war countries who recovered did it very well and they grew bigger and they got big but right now in the past 20 years it got lower and lower.

You can check the numbers and see it doing better but do not let it fool you, that is doing better for the companies and not the workers of those companies, we earn less and we spend more just to live a worse life than our parents did. I think if crypto gets attention in places like Brazil and Argentina who is doing bad right now, it means crypto will do better in every nation one day.

[plr]

If this is true it's a big proof that investors are indeed switching to Cryptocurrency as a haven for their investment, because right now in this pandemic, Cryptocurrency is the fastest investment that recovers, in just two months it's back on it's feet and now moving to another all time high, something that is not happening to other investment.

[Yaunfitda]

Saw a few interviews in Argentina and it seems it is less about the locals buying or sending bitcoin, but people abroad sending them back bitcoin. It's surprisingly similar to southeast asian workers abroad. We used to send home dollars, but euros are a favourite now and apparently, so is bitcoin, at least because it is actually easier to liquidate with local traders!

Not just with local traders, but there are local exchanges that can you can easily cash out your bitcoins coming from abroad to local fiat without any aid of any banks. Although I would say that dollars is still the king of remittances in some asian countries, but with the adoption of bitcoin in full swing, I will not be surprised if the tide changes and people sending money to their love ones will used BTC. Billions upon billions will flow.

[buwaytress]

Same here in our country, we do have registered local exchanges here but the fee is quite too high and subject to the current market price they are too quick to change the price when the market is down but not when the market is high, it's actually between relatives and friends since this is a peer to peer and working on trust, and you don't need KYC too.

Where's your country? Fees will always be high and based on predicted inflation, that's the problem. And yeah, that's the whole point of BTC as a p2p money.

Not just with local traders, but there are local exchanges that can you can easily cash out your bitcoins coming from abroad to local fiat without any aid of any banks. Although I would say that dollars is still the king of remittances in some asian countries, but with the adoption of bitcoin in full swing, I will not be surprised if the tide changes and people sending money to their love ones will used BTC. Billions upon billions will flow.

Ah I didn't know that. The same news I'm reading says that the government has been restricting the moneychangers from giving out US dollars, so I imagined the same would have been happening for local exchanges. How do they control the outflow, it must be heavy demand from people selling BTC there then?

[bitgolden]

In my country the trading fee is not too much, it is in fact quite contrary cheaper than most other big exchanges like binance and kucoin or so, they are quite cheap but it is only for fiat to crypto changing, not crypto to crypto which is why I only use it when I want to cash out my crypto into fiat and want it on my bank account.

However what is very very expensive is the withdrawal fee, I had to spend some bitcoin for a game and I had to pay 17 dollars for it, the whole thing was 40 dollars anyway and I ended up paying 57 dollars for a 40 dollar thing, you would think something so high tech would make it somehow under 1 dollar but it was super expensive. In any case I hope that bitcoin transaction fee's drop but local exchanges are very vital for most of us who want to get in and out without using American banks.

[Harlot]

The increased in traded volume for both Brazil and Argentina suggests that there os really interest going on in both countries where both of their currencies are failing them. Unlike Turkey where Bitcoin also has reached its ATH with the Turkish Lira yet there was really no interest happening in Bitcoin. Both South American countries just show that some of their citizens are already preparing to bail out of their own fiat currencies for their own safety. I just wish this won't worsen as from what I know countries with high inflation such as Venezuela even though they used other currency now shows that these other chrrencies are still affected by the inflation.

[stompix]

Both South American countries just show that some of their citizens are already preparing to bail out of their own fiat currencies for their own safety.

Yeah, but NO!
As usual some numbers, we're taken out of context and everybody starts clapping how those people are getting into bitcoins by the millions.

The volume for Argentina dropped in pesos to half, and in BTC from a max of 100BTC a week to 50.
Same for Brazil, a drop from 2.7 to 1.9 mil real.

It's not a flow of money at an increasing rate because people are switching to BTC it was just the usual volume pump triggered by the price increase.

Cryptocurrency is the fastest investment that recovers, in just two months it's back on it's feet and now moving to another all time high, something that is not happening to other investment.

Probably because other investments are not at 50% of their ATH value? Or that they haven't crashed to 20% of that?