Venezuelans Breaking Bitcoin Buying Records On LocalBitcoins

Venezuelans are buying more and more bitcoin each month, even breaking previous months sales in Localbitcoins, a peer to peer bitcoin market that does not enforce identification to operate on its platform. This with the purpose of protecting themselves from the tough economic problems and the skyrocketing hyperinflation that is hitting them every month.
Venezuela, a third world petroleum-based economy, is facing a crumbling economy as consequence of poor economic planning and also due to the socialist nature of their government. Unofficial inflation numbers are critical, reaching more than 800% so far this year. This fact makes inefficient for Venezuelans to save their earnings in the local currency, known as the bolivar.
This is why Venezuelans have broken all records buying bitcoins and other cryptocurrencies to avoid losing part of the value of their savings from one day to another. According to data from Coin Dance, a site that aggregates bitcoin and cryptocurrency purchases per platform and per country, Venezuelans have purchased more than 8,000,000 million bolivares worth of bitcoin in just more than 20 days, even with the price of bitcoin going down. This because even if the market fumbles a little, it won’t be as volatile as the local currency, the bolivar, that frequently drops 20% of its value daily.
That is why Venezuelans are fleeing to cryptocurrencies, to preserve the value of their money and keep it away from the government. Some could say that it could be better for them to save in strong fiduciary currencies, like the dollar and the euro; but Venezuela faces an exchange control since 2003, that eliminates this possibility. For Venezuelans, buying another fiat currency with bolivars is illegal.
But this trend could be finished soon by the Venezuelan government; Tarek el Aissami, the Venezuelan vice-president announced that they would be on the hunt for people trying to exchange cryptocurrencies at “speculative prices”, hinting at a crackdown on illegal micro trading.

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