A word about Bitcoin in Brazil

09-01-2017 | Industry news

In times where countries around the world struggle to keep the value of their currency as high as possible, Bitcoin is gradually becoming a legitimate payment method. The payment system which was first introduced in January 2009 by an identity named Satoshi Nakamoto, has gone a long way to become a legitimate solution accepted by over 100,000 merchants in 2015 according to BitPay. Though quite largely used in countries such as the United States, the payment system has also made a significant growth in popularity in Brazil in the last few years. The system is now quite a popular way to make international transactions from Brazil to other countries and territories, chiefly because of harsh government restrictions and the relatively high value of Bitcoin in Brazil.

As one of the largest economies in the world and the largest in South America, Brazil has seen its fair share of economic struggle. Facing its worst recession in decades, in addition to the current strict governmental restrictions on taxation and money transactions, Bitcoin proved to be a faster, more efficient and better-valued payment method, says Rodrigo Souza from Blinktrade. Souza has seen the usage of Bitcoin growing quite significantly in Brazil in recent years, saying that in the last three years alone, its monthly growth has been 10%. Money transfers from Brazil to any other territory using Bitcoin takes about seconds, given that the user on the receiving end has set up a Bitcoin account to be able to receive it.

People are now more likely to remit money through Bitcoin, as the exchange rate of this cryptocurrency in Brazil is normally worth 5% more. It is a worthwhile alternative to bank transactions, as banks tend to apply foreign exchange rates and fees that hurt the final consumer. Using Bitcoin, users can avoid those extra costs. The Brazilian Real is currently enjoying a peak in its value, meaning that the value of Bitcoin transactions in Brazil is higher as well. It seems that now is the best time to start using this currency in Brazil, with more and more different exchanges that offer Bitcoin services in the country, and over 100,000$ worth of Bitcoin transfers into Brazil alone, the largest in the continent. The current conditions for Bitcoin are fantastic in Brazil, and in the first six months of 2016, Bitcoin trading volumes surpassed that of gold in the country by seven percent. This is a phenomenal moment no matter how we choose to look at it, especially since gold has been traded for centuries and Bitcoin started its life course seven years ago. Experts predict that the next couple of years will see a continuing rise in Bitcoin transactions and higher user numbers in Brazil. https://fee.org/articles/bitcoin-surpasses-gold-trading-in-brazil/

The original source of this article is ibtimes.co.uk