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Argentines buy BTC instead of dollars to fight inflation

Bitcoin purchases in a week in Argentina rose to the highest level in 20 months, as the asset is seen as an attractive hedge against the country's 276% inflation, Business Insider writes.

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The dollar is losing its attractiveness

Against the background of the rapid growth of BTC, the dollar has lost its attractiveness among Argentines, and the national currency The country's peso, on the contrary, strengthened.

During the first week of March, the number of weekly bitcoin purchases increased to 34,700, which is double the level in early February. Meanwhile, the token itself has also skyrocketed by as much as 73% since the start of the year to reach a record high of over $73,000.

The token has become an attractive hedge in Argentina, where inflation remains at 276%.

Read: Argentina sold $3.2 billion in bills to pay off debts

The dollar was previously a source of income for the country when economic problems sharply reduced the value of the peso, and was widely used – from home rentals on the Airbnb platform to salaries in companies.

However, the peso strengthened by 10% , which reduced the attractiveness of the dollar.

minfin.com.ua

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