The Situation In Venezuela Has Gone From Bad To Worse, Bitcoin's Growth Slow
Things are not looking good in Venezuela. Food is reportedly tough to procure or inflated, and the country's minimum wage puts people beyond poverty. Recently, individuals have reported the Venezuelan government has taken a strict stance on foreign currencies, including Bitcoin. The Venezuelan government has not released official figures regarding the lack of availability of basic products in the country. A leaked government study, however, has shone light on the question. Alongside scarcity, Venezuelans are enduring the rising cost of food, with the monthly cost of an average Venezuelan....
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All of this goes to show the situation in Venezuela is more troublesome than many people assumed. As if the financial situation in Venezuela isn’t bad enough, bank ATM withdrawal limits have been restricted. Every bank customer can withdraw US$5 worth of Bolivars per day from now on. Going to the bank teller behind the counter is subject to the same limits. Not a positive development by any means and the situation will only grow worse. These new guidelines were designed to go into effect as of December 1, 2016. Several Venezuelan banks are already enforcing these new limits without prior....
This plan by the Venezuelan government is a bold one, that will ultimately not entirely work as intended. The financial situation in Venezuela continues to go from bad to worse. Just last week, the government announced a new 20,000 bolivar bill to reduce the existing bank note supply. A new law will replace the current highest-denomination banknotes with coins in the following 72 hours. A similar strategy has been employed in India, which has not worked out at all. Replacing existing banknotes with coins seems like taking four steps backward. For the Venezuelan government, the decision....
Localbitcoins saw a roughly 85 percent increase in global volume over the course of 2016, and the growth seen by this bitcoin trading platform was seen equally in both the developed and developing world—albeit for different reasons. While the need for increased privacy and the avoidance of Know Your Customer regulations is known to be the driving force....
The world of finance already seems to evolve at a slow pace, yet some countries manage to come up new ideas that make the situation even worse than before. Recently the Belgian Court of Cassation has decided to let the Department of Finance use any evidence in court, even if it has been obtained through “dubious” activities. When governmental bodies and departments start blurring the lines between what is morally correct, and what is an outright breach of privacy, things take a turn for the worse. The main issue most people have with the ruling by the Belgian Court of Cassation is how it....
It is popular knowledge that the Venezuelan economy is passing through some very difficult times. With an inflation of 275% in 2015, and IMF forecast of a far worse situation in 2016 as the nation struggles to find stability in it’s economy. Can Bitcoin play any role at all? If so, how big a role can the Cryptocurrency play in the given situation? Venezuela has been in the news lately, but not for very positive reasons. The country faces severe social and economic problems, such as high inflation (the highest in the world), shortage of basic goods in the markets, high criminality and media....