Venezuelan Claims Bitcoin Better Than Banks – Despite Blackout BTC Was Up 

As Bitcoin hovers over $4000, crypto enthusiasts across the world staring at the new bull market. While BTC starting to pick the long-awaited figure, one cannot forget the energy it consumes during mining– however, the case of Bitcoin transaction in terms of electricity is quite different. As such Venezuelan claims that the recent massive power outages didn’t affect the BTC network.
Bitcoin Better Than Centralized Banks
Frances Coppola, financial author, and famously known Bitcoin critics took to Twitter on March 16 and claimed that ‘Bitcoin needs electricity’. She quoted a tweet of Professor Steve Hanke who discussed the use of Bitcoin in Venezuela that had suddenly dropped 40% due to blackout according to some reports. Quoting the tweet of Steve Hanke, Coppola said;

Since the “blackout” began in #Venezuela, the use of #bitcoin has dropped 40%, heightening the country’s money problems: a lot of inflation, but no money. #Socialism has returned VNZ to the days of barter.
— Prof. Steve Hanke (@steve_hanke) March 16, 2019

But behind the scene, the claim is proved wrong. On March 18, 2019, a redditor from Venezuela who seems to be a bitcoin enthusiast – published a post taking Coppola’s statement from Twitter. Redditor strongly claimed that ‘My whole country didn’t have electricity, all banks were down. Bitcoin was still up.’ The post was quickly explaining the blackout does affect Banks, Debit and Credit cards but doesn’t affect Bitcoin network.
My whole country didn’t had electricity, all banks were down. Bitcoin was still up. from Bitcoin

Coppola has long been critics when it comes to Bitcoin and often Anthony Pompliano, founder of Morgan Creek used to respond her, explaining how her sentiment seems wrong in his view. As such, this time too, he took Twitter and commented on Coppola’s claim. He said, “Bitcoin is simply superior money’,

The power in Venezuela was down.
People had no access to their $$.
The ATMs weren’t working.
The banks were down.
But Bitcoin was running.
It is always running.
Bitcoin is simply superior money.
— Pomp 🌪 (@APompliano) March 19, 2019

Although electricity was down in Venezuela, the scene of Bitcoin interest among Venezuelans is opposite – while responding to a question, Reddit user said that Cryptocurrency interest in Venezuela is growing every day and more people are interested. Similar to the increasing interest, Bitcoin’s value is also taking a leap with almost 0.30 percent over the past 24 hours. At present, the value of Bitcoin sits at $4028 against US dollar.

Since Venezuela often appeared with the poor economy and infrastructure issues, Dash Text Wallet is reportedly addressing a part of such issues. As coingape reported, an SMS wallet from Dash helped 50 students via its new charitable donation model. To note, the model is internet free, means that anyone/doner can send a donation to the specific Bitcoin address without internet and beneficiary receive the same without having to connect the device with the internet.
As such, it marks Venezuelans to access cryptocurrency such as Dash without internet. Moroever, the recent claim of a Redditor clearly indicate bitcoin doesn’t need electricity for the transaction. However, the case is different when it comes to mining Bitcoin.
What do you think readers? Share your thoughts with us.
The post Venezuelan Claims Bitcoin Better Than Banks – Despite Blackout BTC Was Up  appeared first on Coingape.
Source: CoinGape

Dash Ranks Higher After Boosting Internet Free Charity Model for Venezuela

For the first time, Dash cryptocurrency is moving beyond crypto ecosystem. The SMS based Dash Wallet or Text Wallet has launched a new charity system which is completely automatic and helps the needy immediately. Following the launch, trading volume of Dash cryptocurrency is picking up the positive figures.
Dash Took New Move
At press time, the value of one DASH coin against the US dollar is trading at $94.31, surging with 3.13 percent over the past 24 hours. Per the average market cap, Dash is sitting comfortably at 15th spot with a little difference by IOTA which has lost 1.53 percent during the past 24hours.

Internet Fee Blockchain Charity System
Dash Text Wallet’s distributed charity model is one of the recent strong pointers that likely influenced the total volume of DASH cryptocurrency. As claimed officially, it is one of the ‘world’s first distributed charity model’ – which is an automated, irrespective of the place where a doner resides.
This is powered by DASH coin and works simply without an internet connection. The doner can send DASH cryptocurrency to a specific donation address using SMS-based Dash Wallet. All such Donations will then be evenly and instantly distributed among the people who really need it. At the same time, recipients will also have Dash Text wallets which let them send/receive SMS using its official wallet and access to the funds in need.

📣 @dash_text has launched a new pilot #cryptocurrency service which might be the world’s first distributed #charity model at a school in Caracas, #Venezuela! 👨‍👩‍👧‍👦❤️🙏 Children have used #Dash donations to buy over 1,000 lunches & 900 beverages.Learn more:
— Mark Mason (@StayDashy) March 18, 2019

However, such donations will help beneficiaries buy food, medicines and other essential items along with enabling them to learn how to use cryptocurrencies.
At the moment, the charity program is in a pilot phase, majorly focusing on helping poor students at the School in Caracas, Venezuela. The pilot project was considering 50 students who reportedly used donations to buy 1000+ lunches and 900 beverages. This was possible with donations of at least 60 transactions made every day. A donation initiative by DASH text wallet contributes a major boost for the Venezuelans, especially for those who are battling with poor economic and infrastructure within the country.
Following the success of inception and ongoing effort of this program, Lorenzo Rey, the Dash Text Wallet Co-founder says;
“Whenever someone makes a donation through our system, the money gets immediately and equally distributed amongst the people you’re donating to, this is completely transparent and traceable on the blockchain, the money is never touched by a human third party inside our system, it is all automated and happens in just a few seconds. Recipients receive a confirmation SMS which might include the name and country of the person who donated. There is no system like this in the world today, all charity donations, including crypto charities, right now require some sort of human intermediation,”
Beside this, DASH has also partnered with Bitrefill which is a mobile top-up and a gift card service provider. The partnership would help DASH’s donation campaign in terms of reducing the top up cost of mobile phones.
So readers, what do you think about DASH helping Venezuelans? share your opinion with us.
The post Dash Ranks Higher After Boosting Internet Free Charity Model for Venezuela appeared first on Coingape.
Source: CoinGape

Bitcoin [BTC]: Following mega-blackout in Venezuela, BTC volume domino drops in neighboring countries

Venezuela is in a state of distrust and emergency, considering the recent blackout which pushed the country and its people towards the brink of frustration. The massive power outage is said to have affected 15 out of 23 states and as a result, caused a decrease in the Bitcoin’s overall transaction volume.
As per the data obtained from Coin Dance, the Bitcoin volume of Venezuela peaked on February 09, 2019; a total volume of 2,487 BTC was noticed on the date. However, the BTC volume as of March 09, 2019 was 1,129 BTC, a 54.60% decrease in volume.
Source: CoinDance
The Venezuelan government, especially Maduro, has been vocal about his opinion on Bitcoin. This move is being considered as a way to suppress people from buying Bitcoins and push them towards its oil-backed cryptocurrency, Petro, by a large part of the crypto-community.
This caused widespread panic in the community, leading to the shutdown of private and public businesses, which led to a total loss of $400 million in the country. Moreover, neighboring countries like Colombia, Peru, Chile have all faced decreasing volume in BTCs, which could be a domino effect.
A decrease in volume was also observed in Peru as the volume of Bitcoin fell from 303 BTC on February 09, 2019, to 179 BTC on March 09, 2019, which was a drop of approximately 40%.
Source: CoinDance
Chile also observed a similar effect as the Bitcoin volume for the same time period decreased from 90 BTC to 62 BTC.
Source: CoinDance
The BTC volume in Colombia decreased from 760 BTC on February 09, 2019, to 668 BTC on March 09, 2019. The same can be seen in the chart below.
Source: CoinDance
The overall volume of Bitcoin reduced from 14,896 BTC to 12,537 BTC from February 09 to March 09, 2019.
Source: CoinDance
The blackout caused some people to look into solutions that don’t require communication through existing connections.
A Twitter user, @Ragnarly, commented:
“This drop in Venezuelan Localbitcoin transactions reminds of the need and value of building redundant communications infrastructure. Some existing solutions include @OPENDIME, @Blockstream satellite, and @SamouraiWallet + @gotenna.”
@Carlos_t815, a Twitter user and an author at Caracas Chronicles, tweeted:
“The volume of transactions in Localbitcoins went from more than one million dollars a day to 183k during Day 1 of the mega Blackout.”
The post Bitcoin [BTC]: Following mega-blackout in Venezuela, BTC volume domino drops in neighboring countries appeared first on AMBCrypto.
Source: AMB Crypto

Bitcoin [BTC]: Venezuela approaches cryptocurrency nation status; Patria platform to enable Bitcoin and Litecoin payments

Venezuela has been the focus of Bitcoin adoption over the past few months, with the country struggling with price inflation of over 1,000,00%. President Maduro also refused to provide aid to Venezuelan citizens as he retaliated against the citizens by burning resource trucks on bridges and standing convoys.
However, according to reports from Medium, Venezuela is set to unveil a cryptocurrency remittance service called Patria. This is a beacon of hope for the citizens of Venezuela who have been recently suffering through a hyper inflated economy under the ruling of President Maduro.
After repeated efforts to push forward for the adoption of their own cryptocurrency “Petro”, the government of Venezuela is finally offering the citizens a platform to make efficient Bitcoin and Litecoin payments in the country.
The new remittance service platform would allow people of Venezuela to receive Bitcoin and Litecoin payments from users based across the world.
This is a major milestone for the people of the South American province as earlier, the citizens were threatened by the government with significant fines and jail time if they refused to back their native cryptocurrency.
The government laid down a set of rules that would be necessary for the acceptance of cryptocurrencies in Venezuela:

The recipient must be a Venezuelan citizen, be of legal age, and lives in Venezuela currently.
The recipient can receive crypto-assets up to the value of ten Petros per month but the recipient can request to receive up to fifty Petros equivalent.
The sender must pay a commission of up to 15% of the total amount sent and a minimum amount to the equivalent of 0.25 Euro per transaction.
Senders will need to give details about their national identity card, date of birth and who you are sending the crypto to.
Give the currency you’re sending and the amount.
Use the crypto wallet address indicated by the Patria platform.

The post Bitcoin [BTC]: Venezuela approaches cryptocurrency nation status; Patria platform to enable Bitcoin and Litecoin payments appeared first on AMBCrypto.
Source: AMB Crypto

Bitcoin [BTC]: Venezuela registers over 16,000 BTC in trading volume via LocalBitcoin

Due to an economy struck by hyperinflation, Venezuela has seen its Bitcoin [BTC] and cryptocurrency industry grow considerably. For a country crippled by political and economic turmoil, Venezuela exhibited a mammoth surge in its trading volume for Bitcoin over the past year via LocalBitcoin, a cryptocurrency trading platform.
Source: CoinDance
According to the statistics charted by Bitcoin stats and service provider Coin Dance, Venezuela recorded a trade volume of 6,347 BTC in the month of January on LocalBitcoin. This was followed by a massive trading volume of 10,315 BTC in February, suggesting that a whopping 16,662 BTC was traded across the OTC platform.
Finland based-Bitcoin trading forum LocalBitcoins also exhibited a steady increase in the trading volume of the world’s largest crypto asset throughout the year from a low of 871 BTC in January 2018 to exceeding 10,000 BTC a year later.
Bitcoin trading volume in the country peaked in early February this year and reached an all-time high, while the inflation rate of Bolivar, the country’s native currency, hit a massive one million percent.
Additionally, according to statistics by leading analytic service provider SimilarWeb, Venezuelans comprised over 16% of the visitors on LocalBitcoin’s platform between November 2018 and January 2019.
Source: SimilarWeb
Over 200 businesses, including restaurants, hotels and clothing stores in the country, accept payments with digital assets like BTC, LTC, ETH, and Dash. This data was reported by an app, ‘CriptoLugares VE,’ that allows Venezuelans to find places where cryptocurrencies are accepted for settling payments.
Recently, the country’s Ramesas platform also created an all-new remittance service via Bitcoin [BTC] and Litecoin [LTC], opening avenues for the Venezuelan masses as well as institutional players to embrace crypto at a time when the native currency values nothing. According to well-known Bitcoin proponent Anthony Pompliano, Venezuela might actually be the first country to switch from fiat to crypto.
The post Bitcoin [BTC]: Venezuela registers over 16,000 BTC in trading volume via LocalBitcoin appeared first on AMBCrypto.
Source: AMB Crypto

Venezuela launches crypto remittance services using Bitcoin [BTC] and Litecoin [LTC]

The Nicolas Maduro-led Venezuelan government announced the launch of cryptocurrency remittance services recently. The remittance, which can be settled by using two crypto assets, Bitcoin [BTC] and Litecoin [LTC], was authorized by the country’s crypto asset regulator, Superintendency of Cryptoassets and Related Activities [Sunacrip] earlier this month.
The service on the Remesas platform is designed to enable individuals living abroad to settle payments with recipients in the Bolivarian Republic of Venezuela. The recipient should be of legal age and should also be registered with the Patria platform to receive payments.
Sunacrip’s official website detailed a comprehensive registry of cryptoactive services.
Source: Sunacrip
After the execution of the transaction via any of the two digital currencies, the funds will be credited in sovereign Bolivars in the receiver’s account. According to sources associated with the country’s local media,
“The system will allow the user to receive a maximum of cryptocurrency equivalent to 10 Petros per month [in bolivars].”
For logging into the platform, a one-time password [OTP] or a security code will be sent to the sender’s email address. To access the remittance system, the user will be required to fill in the necessary credentials of the recipient. The average time for executing the payment is 34 minutes for Bitcoin [BTC] and 11 minutes for Litecoin [LTC].
The exchange rate of the cryptocurrency sent will be based on the date and time and its value in euros on the Patria forum. Its value in the country’s native currency will be determined by the official rate maintained by the Central Bank of Venezuela [BCV].
The commission’s lower limit stands at 25 euros, but can go up to 15% of the total amount in Bolivars due to the fluctuating crypto ecosystem. According to reports, the exact value will be calculated and adjusted every 10 minutes on Patria’s website.
At press time, the transaction fee on the Patria website for the trading pair LTC/EUR stood at $41.19 and that of LTC/USD stood at $47.05.
The post Venezuela launches crypto remittance services using Bitcoin [BTC] and Litecoin [LTC] appeared first on AMBCrypto.
Source: AMB Crypto

Litecoin (LTC) Explodes, Is this the “Venezuelan Effect”?

Litecoin price surge, up 14.8 percent
Venezuela approves Bitcoin and Litecoin as remittance agents
Volumes explode as Litecoin (LTC) likely to close above $50

It is only through Remesas, which has the support of the Venezuelan government and under its regulators, that users can send funds using Bitcoin and Litecoin. Perhaps, this move (not trusted by many) will further help pump Litecoin, up 14.8 percent in the last day.
Litecoin Price Analysis
Even though Litecoin (LTC)–like all coins may be recovering, the decision made by the Litecoin Foundation that they will be complementing Bitcoin (as its silver) was strategic and is now paying dividends. Trading at around one percent of Bitcoin’s value, Litecoin is proving to be a cheap cross border alternative that governments like Venezuela are recognizing. Besides, it is available in almost all exchanges across the world meaning it is liquid and suitable for merchants.
Aside from being a medium of exchange—and gravitating towards privacy, Litecoin (LTC) and Bitcoin will be the two coins that users can use as agents of remittance. The Venezuelan backed crypto platform, Remesas only accept Bitcoin and Litecoin.
It will run on the Patria under the direct oversight of Superintendency of Cryptoassets and Related Activities (SUNACRIP), the country’s regulator.
“Remesas is a service of the Patria Platform that allows you to send remittances to Venezuela in Cryptocurrencies. The resources sent will be available in Sovereign Bolivars in the Monedero Patria as soon as the transfer is confirmed. The cryptocurrencies that can be used to send [remittances] are Bitcoin and Litecoin.”
Candlestick Arrangements

Trailing Binance Coin (BNB), Litecoin is up 14.8 percent in the last day. As a result of this upswing, our previous LTC/USD trade plans are valid. We expect this pump to continue throughout the NY Session and it is likely that Litecoin will for the first time this year close above $50.
The resistance level is critical. Because it is previous support, any close above this mark will usher bulls aiming at $70. After that happens, the bar breakout pattern of mid-Nov 2018—as mentioned in our last analysis–becomes invalid.
If not and bears reject attempts of higher highs, then we shall have a classic bear trend resumption phase as the second stage, the retest comes to an end. All the same, we are optimistic. Our first modest target is $70.
Technical Indicators
All we need is a mirror of Feb 8 bull bar. Not only does it have transaction volumes—832k versus 202k average, but it is wide-ranging. After today’s close we shall know the exact participation level but from the look, volumes are above average. If tomorrow’s bar complements today’s price action, then accompanying volumes must be above 220k averages. It will be perfect if volumes surpass 832k of Feb 8 as bulls cement their position.
The post Litecoin (LTC) Explodes, Is this the “Venezuelan Effect”? appeared first on NewsBTC.
Source: New

Counter Argument: A Caracas-Based Journalist Says Bitcoin is Not Saving Venezuela

While Venezuela’s economy continues to suffer under the haphazard mismanagement by Nicolás Maduro, it has caused the country’s citizens to rely on Bitcoin as a currency, store of value, and its use to transfer funds across borders.
Bitcoin has been at the center of many discussions claiming that the entire country is turning to the leading crypto by market cap, with one recent op-ed in the New York Times offering up a story how it saved one struggling Venezuelan citizen’s family. However, a new counter-argument is suggesting that Bitcoin’s usage and dominance in the economically strapped country is extremely overstated, and is instead is being used to fuel cryptocurrency-promoting campaigns.
Argument: Bitcoin Is Saving Families During the Venezuela Economic Crisis
A recent opinion piece published by the New York Times entitled “Bitcoin Has Saved My Family,” has the crypto world buzzing. Bitcoin’s deflationary design, its existence outside the control of governments and financial institutions, and its use as a store of value and transactional currency make the first ever cryptocurrency especially valuable for nations in economic turmoil or those without meaningful banking infrastructure.
The article’s author told a tale of how due to the rapidly declining value of the bolivar – Venezuela’s fiat currency – he buys Bitcoin from LocalBitcoins and uses it to send money to family members, or cashes it out to the bolivar when its time to actually spend money on essentials such as groceries, or in the article’s example, a carton of milk.
Related Reading | Bitcoin Is A Hedge Against Bolivar-Induced Financial Suicide, Claims Venezuelan Economist
Many may wonder why someone would prefer to keep their spending money in Bitcoin when the price of the cryptocurrency has declined over 84% since it’s all-time high price of $20,000, however, bolivar’s annual inflation rate in 2018 was nearly 1.7 million percent. To avoid the value of the author’s funds from falling too much, he finds Bitcoin to be a safer method that better preserves its value.

Counter-Argument: Venezuela’s Reliance on Bitcoin Is Far Overstated
Recently, a counter-argument was made against the New York Times piece, penned by a journalist from Venezuela’s capital, Caracas. The author details how, despite conflicting reports and dominant majority trading volume on LocalBitcoins originating from Venezuela, the country is “not becoming a Bitcoin nation.”
The author himself previously published an article about “how Bitcoin is a lifeline for some Venezuelans,” he doesn’t want to “overstate the popularity of bitcoin in Venezuela.”
“And please don’t use our crisis to attract attention to your crypto campaign,” the author pleads.
The author claims that although the nation has its own native cryptocurrency in the oil-backed Petro, and many are indeed turning to Bitcoin, the country’s citizens are still generally confused by crypto, and don’t yet trust the asset class as a medium of exchange. Others outright think it’s a scam, or lack the technological infrastructure to even access cryptocurrency.
Related Reading | Strong Fundamentals: Bitcoin Daily Transactions Return to Bull Run Levels
“Venezuela’s Internet continues to deteriorate, as the government manages most of country’s telecommunications concessions. Once you get far from the big cities it is even harder to get an good Internet connection. Smartphones, which tend to be priced in dollars, are even more expensive for Venezuelans now,” the author reveals.
In conclusion, the author believes that Bitcoin being a savior for the country has been overblown by the cryptocurrency community, and that Venezuelans would rather fight harder to earn income in their native fiat currency, and find other workarounds to deal with the government’s tightening grip that don’t include cryptocurrency.
The post Counter Argument: A Caracas-Based Journalist Says Bitcoin is Not Saving Venezuela appeared first on NewsBTC.
Source: New

Venezuela’s Petro: Fresh trouble surfaces as report suggests ‘conclusive evidence’ of money laundering

Venezuela’s oil-pegged cryptocurrency, Petro has drawn criticism from Venezuelan citizens, with many calling the digital asset a fraud, since it was created by the Nicolas Maduro-led government. In a recent technical report published by a Latin American exchange, suspicion was raised about the unknown origins of the funds Petro is infused with.
According to the Spanish news portal Verifikado, Maduro revealed that he raised $735 million, hours after the launch of Petro. After a couple of months, he announced the sale of a massive $3.34 million during the initial coin offering.
However, in the technical audit conducted by a Latin American exchange firm for the period of February-May 2018, it was found that none of the funds announced have any records on the blockchain.
With scores of human rights violations and anti-government protests around the country, it was not possible for the Maduro-led regime to draw huge funds from investors ahead of the crypto sale. The fact that Maduro was able to do so is a cause for concern as many allege that the Maduro government is guilty of money laundering.
The report, which was originally published in Spanish, said:
“..the mention of agreements with the ghost company “Aerotrading”, which does not figure in the ecosystem of development and neither on the Internet; In addition, the Zeus company dissociates itself from the agreements made, while the Venezuelan government is still naming the companies and the Nem foundation as the direct responsible for the integration of the Token [Petro]”
Additionally, at least eight accounts with irregularities have been cited in the report, including a ‘White Paper’ document which maybe have been a deliberate attempt to stage the document as a legitimate ICO paper.
Concluding the investigative piece, the author of the report, Julio Eduardo Cruces Carvallo, stated:
“..that there is conclusive evidence, reflected in the technical report, which points to the existence of an alleged crime of fraud. In addition to having conclusive evidence of the alleged fraud, there are also signs of money laundering in the public offer of Petro.”
The Maduro regime allegedly created an exchange for the sole purpose of trading BTC and ETH for Petro. Venezuelan citizens can purchase Petro with bolivars through this exchange at the regulator – National Superintendency of Crypto Assets and Related Activities or Sunacrip’s offices.
The report further declares:
“The risk warning of an imminent economic collapse in the economy, if continued developing advances in the taxation of Petro, in economic sectors and savings staff of the citizens of the country, by means of a completely centralized and manipulable.”
The post Venezuela’s Petro: Fresh trouble surfaces as report suggests ‘conclusive evidence’ of money laundering appeared first on AMBCrypto.
Source: AMB Crypto

Bitcoin Is A Hedge Against Bolivar-Induced Financial Suicide, Claims Venezuelan Economist

Since Venezuela entered its current crisis, Bitcoin (BTC) and cryptocurrencies become a popular subject in the nation. Carlos Hernández, an economist in the strife-filled Latin American nation, recently issued a New York Times op-ed to discuss the matter, elaborating on why the flagship crypto can be a proper hedge against the hyper-inflating bolivar.
Related Reading: Naval: Killer App of Crypto is Socialism, Venezuela is a Prime Example
Holding Bolivars Is Financial Suicide
In the piece, Hernández told his story, proudly claiming that he doesn’t own bolivars. Rather, he keeps all his net worth stashed away in Bitcoin, as keeping it in the local currency, projected to inflate by 3.5% daily (~1,000,000% yearly), would be “financial suicide.” Responding to those who question why he doesn’t utilize U.S. dollars, Hernández claimed that with Venezuela’s currency and capital controls, it is a near impossibility for him to secure a foreign bank account.
But, it isn’t that cut and dried, per the economist. Hernández claims that before he can purchase what he (and presumably his family) needs, he needs to convert his BTC to bolivars, through to be exact. The process is simple: he sends BTC into escrow, receives a bolivar-denominated wire transfer, and runs to the store ASAP to secure foodstuffs. The whole process purportedly takes ten minutes. Not bad.
This simple system has purportedly saved his whole family, as he alone covers his family’s expenses, as his brethren make little-to-zero income on their own. His brother tried to make it big, escaping Venezuela with stars in his eyes and the backing of his family. But even after he managed to make it out… alive, the brother, Juan, couldn’t secure a decent job in neighboring Colombia. Thus, Carlos decided he had to bring his brother back, sending him Bitcoin to escape into the nation embroiled in financial and political turmoil. And since then, Hernández has done his utmost to keep his family afloat.

While Venezuelans evidently have a natural propensity to hold BTC over bolivars, some are convinced that the flagship digital currency could be a hedge against all currencies, even one as ‘trusted’ as the U.S. dollar or the British pound. Travis Kling, the chief investment officer and founder of the Los Angeles-based Ikigai, recently remarked that Bitcoin is much like a credit default swap (CDS) against central banks’ enamorment with printing money.
The Ikigai head, who made a sudden U-turn at the peak of 2017’s crypto boom, as he downed a red pill to foray into cryptocurrencies, added that he’s wary of the build-up of debt on government balance sheets. Kling even stated that the monumental rise of enlisted quantitative easing (QE) strategies is “how you would write the script” for the adoption of cryptocurrencies, especially ones that are fully decentralized, the world over.
Bitcoin Matters For Freedom
Hernández’s recent pledge of allegiance to the Bitcoin cause comes after Alex Gladstein, the chief strategy officer of the Human Rights Foundation, took to Time Magazine to laud the cryptocurrency.

Per previous reports from NewsBTC, Gladstein wrote that:
“For people living under authoritarian governments, Bitcoin can be a valuable financial tool as a censorship-resistant medium of exchange.”
Case in point, he drew attention to the role that Bitcoin can play in remittances, noting that Venezuelans can mitigate the jaw-dropping ~56% fees that financial institutions operating in the nation charge, while also shaving days, if not weeks of transaction times. This is far from Bitcoin’s limit, however, as the world’s most secured transaction settlement layer will become even more valuable, especially with the Lightning Network and protocols of similar caliber.
Featured Image from Shutterstock
The post Bitcoin Is A Hedge Against Bolivar-Induced Financial Suicide, Claims Venezuelan Economist appeared first on NewsBTC.
Source: New

Bitcoin [BTC] trading volumes hit record high in the crumbling economy of Venezuela

Venezuela and the world of cryptocurrencies together have been in the news constantly for the past couple of months due to multiple decisions and forays into the field. With the advent of Petro and the sovereign bolivar in the country, the government has taken radical steps to change regulations and rules surrounding cryptocurrencies.
The growing demand for cryptocurrencies in the crumbling economy was evidenced recently when Bitcoin [BTC] trading volumes hit a record high in the country. This information comes on the back of reports that stated that Sunacrip, the official cryptocurrency regulatory body in Venezuela, will start cryptocurrency taxation and remittances. On a local platform, it was calculated that 2,485 BTC were transferred during the last week while the previous week saw the transaction of 2004 BTC.
Other portals have also said that many citizens like the concept of cryptocurrencies and see it as a way to fix the economy in shambles. Venezuela is also in the middle of political controversy, one that involves incumbent President Nicolas Maduro and the US, Canada approved Juan Guido. Maduro was one of the mean reasons for the establishment of Petro and the Sovereign Bolivar.
The aforementioned Sunacrip, which controls the crypto regulations in Venezuela had also created a ripple recently when it announced 63 new decrees to decide the future of cryptocurrencies in the country. Ramirez Joselit, the Superintendent of Sunacrip had said:
“Today the constituent decree that will govern the operation of the Integral System of Crypto Assets of Venezuela was published in Official Gazette Number 41.575.”
The decrees have also been split into different articles that will entail certain aspects of cryptocurrency regulations. According to article 3:
“The scope of application of this constituent decree [covers] goods, services, values or activities related to the constitution, issuance, organization, operation and use of [the] national crypto assets and [other] crypto assets, within the national territory, as well as the purchase, sale, use, distribution and exchange of any product or service derived from them and other activities that are connected.”
Sunacrip also commented:
“[Sunacrip] will exercise the broadest powers within the legal and constitutional framework, to regulate the creation, issuance, organization, operation, and use of crypto assets, and consequently, to regulate the operation of the exchange houses and other crypto asset financial services, as well as activities associated with digital mining.
The post Bitcoin [BTC] trading volumes hit record high in the crumbling economy of Venezuela appeared first on AMBCrypto.
Source: AMB Crypto

Petro and Venezuela: Sunacrip starts regulating and taxing cryptocurrency remittances

Venezuela and its tryst with the field of cryptocurrencies has been ongoing for a long time now and with the advent of Petro and the passing of stringent laws surrounding it, it looks like updates about crypto will continue to occur.
The latest development from Venezuela is that the country has started regulating and taxing cryptocurrency remittances. The regulator, the National Superintendency of Crypto Assets and Related Activities or Sunacrip has set a monthly limit for remittances and will be collecting commissions of up to 15 percent of the transaction amount. One of the official decrees stated:
“The sender of the remittances referred to in this ruling is obliged to pay a financial commission in favor of Sunacrip up to a maximum amount of 15% calculated on the total of the remittance.”
Reports from within Venezuela have also said that the Sunacrip’s minimum commission rates are “equivalent to 0.25 euros per transaction”. The regulation also claims that Sunacrip now has the vested power to control key factors of the remittances. This includes establishing the remittance limits, specifying tariffs, setting values of cryptocurrencies in sovereign bolivars and requesting data from the issuers and receivers involved in the transactions.
Sunacrip was also in the news recently on February 4, when a decree establishing a legal framework for cryptocurrencies in Venezuela came into force. The release was called the “Constituent Decree on the Integral System of Crypto Assets”, which included 63 articles split into different sections. The Superintendent of Sunacrip even tweeted:
“Today the constituent decree that will govern the operation of the Integral System of Crypto Assets of Venezuela was published in Official Gazette Number 41.575.”
The remittance market being controlled by Sunacrip has not gone down well with the general public of the opinion that it is “the most absurd thing that anyone has ever seen”. Others voiced their disdain by stating that the new framework, as well as the centralized control of Sunacrip, actually hinders the mainstream adoption of cryptocurrencies.
The post Petro and Venezuela: Sunacrip starts regulating and taxing cryptocurrency remittances appeared first on AMBCrypto.
Source: AMB Crypto

Bitcoin Adoption Gets Stronger in Venezuela As Trading Volume Hits All Time High

Countries with weaker economies and collapsing fiat currencies are at the forefront of crypto adoption. While this phenomenon is witnessed across the globe, Latin American countries, which are facing an economic slowdown, are at the forefront to accept this new form of ‘money’
 Venezuela leads the way while others follow  
The economic situation of Venezuela and the collapsing sovereign fiat Bolivar has forced a lot of citizens to adopt cryptocurrencies and Dash has grabbed this opportunity with both hands as it has led the cryptocurrencies to use case in Venezuela. While adoption has been at the forefront of citizens of Venezuela, the people there are also using OTC markets to trade their monies.
According to a recent tweet put forward by Kevin Rooke, Venezuela’s P2P Bitcoin market does 157x the volume of their largest stock exchange.  Venezuela’s top stock exchange did $8,117 of trading volume on Friday while Bitcoins traded on Local Bitcoins is an average of USD 1.28m

Venezuela's P2P Bitcoin market does 157x the volume of their largest stock exchange.
Venezuela's top stock exchange did $8,117 of trading volume on Friday.
Not a typo. $8,117 USD.
Venezuelans traded an avg of $1.28M of Bitcoin on LocalBitcoins each day this week.
— Kevin Rooke (@kerooke) February 11, 2019

The adoption of cryptocurrency is increasing at such a pace in the country that, according to Dash’s CEO, Ryan Taylor
there are use cases where people have invested in Bitcoin to try and preserve the value of their money, utilizing the major cryptocurrency as a store of value and it is Dash’s adoption and quick, cheap transactions that are making it an important financial tool in Venezuela.
Just like Venezuela, other countries in Latin America are also embracing cryptocurrencies.  According to the data provided by DiscoverDash, Colombia, another South American country which has a struggling economy, ranks third in the world for Dash-accepting merchant listings. Colombia’s 327 merchants are among 3,000 merchants in South America that accept Dash as a payment option.
Argentina too seems to be in pro Bitcoin mood as now millions of people in the country’s capital and beyond will now be able to pay for transport on buses, subways, trains and highway toll booths using cryptocurrencies.   Payment platform Alto Viaje, which allows users to charge their SUBE smart cards, announced that it has partnered with South American blockchain startup Bitex to enable payment in Bitcoin. SUBE cards are primarily used in Buenos Aires, but transport systems in cities like Mar del Plata and Villa Gesell and some 30 other locations also accept SUBE payment.
Similar scenes are also seen in Mexico where crypto exchange Bitso had mentioned to media that some 800,000 citizens are now actively trading in digital tokens. Bitso also mentioned that its average annual growth is a staggering 522%.
Cryptocurrencies have definitely found a strong footing in South America and it looks like they would just grow vertically from here thus ultimately improving the adoption and investing in cryptocurrencies. Latin American countries are definitely setting an example for the world to follow.
Will cryptos be able to spread their wings to other countries at will, like they have done Latin America? Do let us know your views on the same.
The post Bitcoin Adoption Gets Stronger in Venezuela As Trading Volume Hits All Time High appeared first on Coingape.
Source: CoinGape

Naval: Killer App of Crypto is Socialism, Venezuela is a Prime Example

The killer application of crypto is socialism, said Naval Ravikant.

The killer app for crypto is Socialism.
— Naval (@naval) January 26, 2019

The prominent entrepreneur, who co-founded AngelList, a website dedicated to matching startups with investors, emphasized the use case of crypto at a time when socialism is failing in Venezuela. However, he didn’t specifically mention the country.
Venezuela: A Socialist Evil
Every sensible witness agrees that Venezuela, which is sitting atop the world’s largest oil reserves, has turned into a humanitarian disaster. Former president Hugo Chavez and its “Fifth Republic Movement” overtook the nation with the dissolution of social democratic parties and movements. He hijacked the political language through a discourse that established the idea of “people” and “anti-people.”
Chavez and his allies were able to enforce Scandinavian social-democracy whereby economic and social policies intervene to promote social justice within the framework of a capitalist economy and liberal democracy. The results were confident in the early days. Venezuela achieved an impressive Human Development Index, offered free education, and used government resources to tackle poverty.
But the good things could not sustain. People supported the idea of confiscation of economy’s strategic areas such as telecom, electricity, and oil. Things started to move in the opposite direction when the Chavez government also began expropriating other regions, including valves, paper, rice, meat, fruit juice, hotels, coffee, etc. The policy didn’t go well while catering to a dynamic, global market. The cases of top-level corruption surged thanks to an increase in favoritism inside the government. Meanwhile, a faltering economy led to the birth of black markets. It reduced people’s dependency on the local Bolivar as they started acquiring dollars to settle cross border deals.
When oil prices plummeted, the chips went down for Venezuela whose overspending had already created an economic deficit. They responded by printing more Bolivar currency, leading to inflation, which further led to price controls, and then to shortages. Protests followed. Repression ensued. A democracy destroyed.
What Venezuela got, in the end, is hyperinflation, scarcity of goods, despair, and hunger.
Breaking Free
Naval proposed crypto as a solution to the failure of Marxist-based economies. But whether or not a cryptocurrency would be centralized or state-backed (like Petro), he didn’t specify. A follower later decrypted Naval’s one-line tweet, which the celebrated entrepreneur endorsed openly.
“I think he means it’s the best the insurance policy against Socialism,” wrote the follower, “but curiously an “evil” bitcoin could be envisioned wherein authoritarianism prevails and monitors all transactions, automatically taxes, etc.
Venezuelans self-admittedly started mining cryptocurrencies and sold them on local exchanges to meet their economic ends. Oscar, a citizen, offered an insight into the inflation and its impact on Venezuelans.
“I don’t want to drag this topic a lot, but Venezuelans don’t have tools to exchange their Bolivares easily,” he wrote on CoinSpice. “They have to depend on the black market to get the dollars in cash or PayPal. Some might exchange using international bank accounts, but it’s minimal for the common people to access this. It is where Bitcoin came in. As BTC volume started rising in Local Bitcoins, it started to become as a price marker for USD/Bolivares exchange rates.”
Dash, an alternative cryptocurrency project, received a warm welcome from Venezuelan when it launched its p2p payment services in the region.
“We are seeing tens of thousands of wallet downloads from the country each month,” Ryan Taylor, the CEO of the Dash Core Group, told Business Insider at the time of launch in August 2018. “Earlier this year, Venezuela became our number two market even ahead of China and Russia, which are of course huge into cryptocurrency right now.”
What’s Next
Venezuela is now looking at a power shift. With the US, Europe and a majority of Latin American nations supporting the “fairly” elected president Juan Guaido, the country could see the overthrowing of its dictator Nicolas Maduro. The political development does not necessarily contribute to how crypto adoption would fare in Venezuela. But, people have already accepted it as a tool to combat anything that smells like inflation.
Then they ask, what its use case is.
The post Naval: Killer App of Crypto is Socialism, Venezuela is a Prime Example appeared first on NewsBTC.
Source: New

Bitcoin [BTC]’s trade projected to rise as Venezuela embraces pro-Bitcoin Interim President Juan Guaido

In the face of a continuing economic crisis, many in Venezuela have, for some time, looked for alternative assets, far apart from fiat currency. Bitcoin has for some time been such a refuge and it would seem that with new Interim President Juan Guaido taking charge of the affairs of the country, use of the cryptocurrency is only going to rise further.
Bitcoin has always been treated by Venezuelans as something like a safe haven asset, a digital asset that is untouched by government interference, devaluation or the risk of hyperinflation. And although cryptocurrencies themselves aren’t immune to hyperinflation, many Venezuelans believe they have more to offer when compared to the state of their national currency, Bolivar. The rise of Juan Guaido could be a boon in this regard as the new Interim President has for long been a proponent of Bitcoin and cryptocurrencies. In fact, he even tweeted out in support of a Bitcoin exchange that had opened in the country way back in 2014.
Source: Twitter
It’s not just Guaido who is a fan of Bitcoin and cryptocurrencies, however. In fact, President Nicolas Maduro has introduced Petro, a cryptocurrency native to the country back in February 2018 and one which would be backed by the country’s mineral and oil reserves. However, it was panned by everyone, from economists to his own people, with the then-rival Juan Guaido even saying that “Petro is just another way for Maduro to scam his own people.”  More recently, Petro was even hiked up to the value of 36,000 sovereign bolivars.
Such conditions, made worse by United States sanctions on the Latin American country have encouraged the growing use of cryptocurrencies across the country. In fact, the first Bitcoin ATM will be installed by the ATM manufacturer, Cryptobuyer in the first week of February in Caracas and is expected to serve thousands of Venezuelan citizens.
Although signs for the cryptocurrency market in Venezuela are positive, a lot of it still depends on the political climate of the country. Cryptocurrency trading has been legal for quite a while now, however, Bitcoin and it’s like will receive a good boost if Guaido remains in power. The chances of that happening if Mathuro comes to power are the same as well however, there is also the possibility that he may disallow trading of any cryptocurrency except Petro, in an attempt to shore up the government’s cryptocurrency. Either way, the fortunes of the cryptocurrency market and its leaders remain entwined for the near future.
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Source: AMB Crypto