Among the top oil producing countries in the world Venezuela ranks one of the world’s largest known oil reserves, these like some other richly blessed regions have lead to negative and disadvantageous economic precedence and with population of around 28 million people they can easily boost the relevance of any global sector.
Owning to this, the populace of the South American country has taken advantage of blockchain applications like cryptocurrencies as a medium of exchange.
This is a result of the dwindling value of the Bolivar coupled with the 1,000,000 percent inflation rate that rocked the country in 2018. This economic reasons has fueled the massive acquisition of crypocurrencies as it has higher retention value than the Bolivar and within the past seven days crypto P2P trading platforms has reportedly processed over $15 million in Bolivar this was confirmed by a statistics gotten from CoinDance. The country is facing economic sanctions especially from the United States government due alleged human rights violations and corrupt practices by the incumbent administration.
Contrary to the basis of crypocurrency establishment the Venezuelan government issued its cryptocurrrency petro, which has come into scrutiny and disapproval by crypto enthusiasts within the country as it is believed to be controlled by the government because the country’s leadership largely controls its fortunes. The government has tried to push for its usage by issuing payments such as pensions in petro and foreigners looking to obtain a passport are required to making payments in petro but all these hasn’t done anything to increase its acceptability. Venezuelans have a strong history with cryptocurriencies which serves as succor from the nation’s high inflation rate. Crypocurriencies are used as a means of money transfer abroad or in the Diaspora due to the economic sanctions on international money transfer system. This has also led to the growth of the cryptocurrency space in South America generally as Venezuela is a vocal point of crypto propagation in the Diaspora.
One of this cryptocurrcies is FLASHCOIN a reinvention of LITECOIN, built to scale worldwide commerce with very fast every day transaction handling. Its flexible and easy to integrate core code allows exchanges and wallets to add FLASH to their platform within hours. The exchange of FLASH to family and friends can be done and dusted in the blink of an eye this, together with its zero inflation characteristics where all coins are issued to the community and can only be gotten by trading with community members or on an exchange is particularly a huge advantage to the Venezuelan populace. Most recent is the launch of “Human ATM” feature which provides peer-to-peer trading and this will be a huge boost in Venezuela with low rate of access to traditional banking services.
This feature allows customers to load maps of individuals offering in-person trades via mobile devices whereby enabling people purchase or sell their cryptocurrencies in person then the units transferred to phone-specific wallets. This will give users in Venezuela 24-7 access to cryptocurrencies like bitcoin, ether and dash.
It will be recalled that U.S. sanctions against Nicolas Maduro’s authoritarian regime have largely isolated Venezuela from the global financial system, exacerbating one of world’s most severe economic crises and forcing officials to use a patchwork of methods to move money around.