As the economic turmoil in Argentina continued to harm citizens, people began to prefer Bitcoin (BTC) more. There is a serious increase in the use of Bitcoin in the last 2 years in the country that is fighting inflation. Recent data revealed that Argentines are constantly increasing their leading cryptocurrency purchases.
Argentines are spending more and more pesos to buy Bitcoin, as new data provided by cryptocurrency analysis firm Arcane Research explains. More specifically, since the beginning of 2018, the weekly volume in LocalBitcoins has increased by more than 1,000 percent in local currency. According to the company’s research, the amount of BTC purchased is 10 times higher than in 2018. It is worth noting that in the same period, the value of the ponon decreased significantly. For example, compared to the US dollar, pesos has dropped by about 70 percent. Naturally, this means that Argentinians have to spend more to buy BTC.
Expanded Their Services
To cope with the growing interest, two of the most popular crypto exchanges have expanded their services in the region. In February, Huobi added a fiat gateway for Bitcoin and Tether (USDT) for the Argentine branch.
It can be said that the Argentine economy fell more in pain with the situation caused by the COVID-19 pandemic. Looking at the current data, the country has an external debt of $ 65 billion. In addition, the Argentine pesos continue to lose value. Earlier this week, the country’s Economy Minister Martin Guzman announced that the country is in a virtual default state.