Bitcoin is sold for twice the price in Argentina, you see

According to official data, one dollar can buy 220 Argentine pesos. However, the reality is very different, after all, one dollar is equal to 490 pesos on the free market.

As a result, this also interferes with the price of Bitcoin. While it should be about ARS 6.1 million, Argentina’s two largest cryptocurrency exchanges trade each bitcoin for more than 12.5 million pesos.

That is, in theory, Bitcoin trades for more than double the price in our neighboring country.

Bitcoin to Argentine Peso quote provided by Google, which uses official data from the Argentine government. However, the price would already be historically high.
Bitcoin price in Argentine pesos on Ripio brokerage.
Price of Bitcoin and other cryptocurrencies on the Buenbit exchange showing stablecoins USDC and USDT are trading at 491 ARS.

Inflation in Argentina is drawing the attention of the world

That is what Brazilian economist Fernando Ulrich says in a video published on Sunday (23). ‘Argentina is going bankrupt and this is a warning for Brazil’.

On the posting date, one dollar was worth 427 pesos. Today, just two days later, the same website points out that the dollar is at 490 ARS.

“In recent years, since 2000, there has been an increase of 21,000%. Compared to the Brazilian real, [ele] rose only 159% in this period”observed Ulrich. “While our currency has been devalued, what they have done in Argentina is unparalleled in recent history.”

Another Bitcoin enthusiast surprised by Argentina’s inflation was Michael Saylor, founder of MicroStrategy.

“Inflation in Argentina is now 7.58% per day.”

In comparative terms, the daily inflation of the Argentine peso manages to exceed the annual inflation rate of the US dollar, currently around 5%.

Citizens are fleeing their local currency

Argentina is not alone in facing such difficulties. Two other countries experiencing the same situation are Lebanon and Turkey.

In the example of Turkey, Bitcoin reached a quote of 1 million Turkish liras (TRY) in 2021. In Lebanon, citizens even set fire to a bank branch to try to withdraw their own money.

While many see the dollar as a way out, it’s worth noting that Americans fear the same will happen to their currency. That is why Bitcoin is also seen as a solution.

Finally, some investors believe that several fiat currencies will die out in the coming years due to inflation, as has always happened in our history.

However, digitization can accelerate this migration to foreign currencies. That is, it is possible that there are few state currencies left in the world. On the other hand, Bitcoin is running as an alternative for those looking for a currency with a fixed monetary base and no censorship.

Source: Live Coins