Bitcoin News Thebittimes.Com

Bitcoin’s 150% gains over the last two years in Argentine pesos is no match for the country’s 300% inflation in the period. Argentina has grappled with hyperinflation for several decades due to populist policies that have led to budget deficits. As time marches on, the likelihood of Argentina, home to 47 million Latin Americans, facing a full-scale currency collapse looms. But what are the prospects for increased adoption of Bitcoin (BTC), given its outstanding track record when priced in the local Argentine Peso (ARS) currency? Throughout its history, the Argentine government has frequently resorted to the practice of inflating the money supply, be it through bank deposits or government bonds. Notably, Argentina's aggregate money supply M1, comprising currency, demand deposits, and other checkable deposits, has surged from 2.81 trillion ARS in July 2019 to a staggering 10.66 trillion ARS, marking a substantial 277% increase over the span of three years. What happened to Bitcoin’s...

El Salvador has time and again been credited with ushering in a new wave of Bitcoin adoption. The Central American nation declared Bitcoin to be legal tender in 2021, mandating that all businesses accept the largest crypto asset. Parallelly, in economies where local currencies are suffering, like Argentina, Turkey, and Egypt, Bitcoin has been creating records. In a recent investor note, Ark Invest Research Associate David Puell pointed out that Bitcoin adoption in Argentina is outpacing that in El Salvador . Despite the legal tag, Salvador’s numbers depict mixed sentiment. An OpEd by CoinDesk pointed out that there is interest in Bitcoin among bankers. However, they fear the repercussions with their international partners if they adopt the digital currency. In fact, several international bodies, like the IMF, expressed their disapproval in the recent past. For Bitcoin to succeed in the region, local banks need to be able to integrate the network into the existing services that ...