Dash Text, a mobile application will henceforth enhance remittance payment in Venezuela using SMS. The recently launched app is to save the Venezuelans from the economic difficulties and provide an alternative to the poor banking conditions in the country.
Venezuelans Cryptocurrency Adoption
The harsh economic condition in Venezuela and the hyperinflation predicted by IMF to increase by several percents by the end of this year has made Venezuelans become the number one fan of cryptocurrency.
Venezuelans economic condition can be related to international sanctions mostly by Venezuelan patriots, while to some outside, poor leadership and excess minted money in circulation has been the major problem facing the country.
The rhetoric of this has led to a poor banking system, value less national currency with reports saying the currency being on daily value decline. Though the president of Venezuela, Nicholas Maduro has introduced the first world national cryptocurrency project in the country this year, called the Petro, this has failed to live up to its expectation in salvaging Venezuelans from the effect of economic hardship.
While the national cryptocurrency project has failed, cryptocurrency continues to make life easy for the Venezuelans. The inherent benefits cryptocurrency offers from the purview of external party disruption and regulations has made cryptocurrency a perfect tool for conducting transactions and also the storage of value.
Dash Text, A Salvaging Tool For Venezuelans
Of recent, Dash had seen wide adoption by citizens of the country. Introducing Dash Text, an offline wallet accessible from mobile devices where users can send and receive funds by sending commands to a five-digit short code through SMS. Dash Text works with the GSM network service, which makes it more accessible to members of the country because of the frequent power and internet outage commonly experienced in the country. Presently, the mobile-based app is on public beta and supported by Movistar mobile carrier in the state.
Alejandro Echeverría, the co-founder of Dash, had said in a statement that Bolivar loses 3-4% of value daily, this makes Dash a better option for transactions and storage of value against the increasing trend of inflation. Alejandro further noted that a shortage of cash had caused the point of sale network to collapse, and long queues to conduct transactions in banks and ATMs nationwide. With these, he said, Dash is capable of turning things around.
Also, the massive migration of Venezuelan citizens to neighboring countries because of economic hardship, and the remittance payment of Venezuelans in Diaspora of about $1 billion annually has made Dash Text a perfect payment platform for Venezuelans.
Meanwhile, the security features of the application raise concerns as it pertains to handling users’ keys, to process transactions and record them on the DASH blockchain. Despite worries, Lorenzo Rey Camejo had assured the crypto community that the project is trustworthy.