USE VERGE (XVG): NO NEED TO REINVENT THE CRYPTOCURRENCY WHEEL IN LATIN AMERICA
Verge (XVG) cryptocurrency does everything Latin America needs.
The case for cryptocurrency is growing in Latin America, and not just because of hyperinflation in Argentina and Venezuela. This means that the uptake of existing cryptocurrencies like Verge (XVG) are the best and fastest adoption way forward.
From bringing financial services to the bankless to funding for startups which has been notoriously difficult to obtain in the past, there’s a quiet transformation under way and its being fueled by cryptocurrency like Verge (XVG).
Cryptocurrency startups in Latin America are UNNECESSARY.
The old Silicon Valley venture capital model of securing funds simply doesn’t work in Latin America. While there are hubs in places like Guadalajara, Buenos Aires or Mexico City where tech startups may experience a significant advantage over their peers, generally speaking, Latin America is a tough place to get capital.
Not only is income in the region much lower than the U.S. or Europe, it’s significantly more spread out. And the region’s governments aren’t exactly rushing to lend a helping hand either. This has created a pool of talented and ambitious individuals with big ideas and no way to get them off the ground.
To make matters more difficult for would-be entrepreneurs, stock exchanges in the region are difficult to enter and extremely illiquid. To put it into perspective, the total market cap to GDP ratio of the region’s largest stock exchange, the Ibovespa Brasil Sao Paulo Stock Exchange, currently sits at 46 percent while the amount traded vs. GDP in the U.S. weighs in at 146 percent.
With a lack of VC funding, little stock market action and no government support, companies are beginning to turn to cryptocurrencies to carve out their piece of the pie.
Adoption gains speed
With the new wave of startups leading the way, cryptocurrency adoption like Verge (XVG) is on the rise. While a spike in bitcoin trading volumes in Argentina and Venezuela are almost expected, Chile, Mexico and even Peru are also witnessing similar activity.
Peru, one of the region’s fastest growing bitcoin markets, has seen exceptional growth in recent months despite the bear market. This is largely thanks to bold moves by companies actively pursing the facilitation of cryptocurrency transactions for their customers.
Verge (XVG) Head of Global Business Development explains, “We all know that fiat payments take too long and cost too much, and that cryptocurrencies like Verge have the potential to affect real change, especially for people experiencing hyperinflation where cryptocurrency is less volatile.”
Zastrow continued, “Right out of the box, even users who have never interacted with cryptocurrencies have everything they need, and by working closely with the Verge (XVG) community, new users have the necessary support structure in place should they need assistance. The critical element to moving to mainstream is the need for removing the friction that exists today with the cryptocurrency experience.
Verge is the cutting edge of cryptocurrency anonymity, security and privacy in the cryptocurrency space today.
Though Bitcoin still takes center stage, with its activity and advocacy in the region, especially in Caracas, Verge (XVG) is quickly gaining traction.
Roadblocks still exist. While there is certainly a notable uptick in crypto acceptance in the region, it has not been an easy task.
Some cryptocurrencies have had to fight for their survival. After a string of account freezes and banking hiccups, the exchanges have taken legal measures to challenge the financial head-on. And though operations are currently moving ahead, Latin American governments haven't exactly welcomed the crypto-movement with open arms.
Colombia is also taking aim at the crypto space, with the age-old “blockchain, not bitcoin” stance. Citing volatility, criminal activity and the rest of the typical rhetoric against cryptos, Colombia is currently looking to define specific regulatory measures in the space. Though the country has yet to announce what these regulations might be, one might imagine they would be less than supportive.
Moving forward
The benefits of cryptocurrencies for Latin Americans are vast. From hyperinflation and lack of banking solutions to crowd funding and micro-financing, cryptoscurrencies like Verge (XVG) offer the region a new way to interact with money.
Though Argentina and Venezuela have been forced to take the lead in crypto adoption in Latin America, bitcoin trading volumes are up, new exchanges are building their roots and a wave of fresh financial services are bringing unique opportunities to a region that has often lagged behind in adoption of new technologies.
The path will likely include an even greater number of challenges moving forward, but Latin America is looking to cryptocurrencies with a generally positive tone.