Around 20,000 stores in Venezuela beginning from June would start accepting Bitcoin and other cryptos as means of payment from Venezuelans. This is as a result of a partnership between exchange firm, Cryptobuyer, and Mega Store, payment solution firm in Venezuela.
The partnership will enable both firms to integrate Bitcoin, Dash, Ether, and other crypto coins into retail chains in the South American country. With this, the retail chain joins other big brands that already accept cryptos as means of payment like Burger King, Samsung, etc.
Why Bitcoin, other cryptos as means of payment in Venezuela?
Bitcoin and other cryptos will no doubt thrive in Venezuela as a means of payment as the South American nations seek an alternative to its local fiat currency. The country suffers currently from tough U.S. sanctions, as a result, refers to crypto to avert dangers of trade restriction on its economy.
Venezuelans also embraced crypto before now as it enables them to bypass tax services and conceal incomes. However, with the opportunity of using cryptos as means of payment in retail markets now, there is no need to go through the hurdles of converting BTC to fiat to purchase items. This would help improve the adoption of crypto in the economic ridden country, no doubt.
Venezuelans find respite in cryptocurrencies
Venezuela’s president, Nicolas Maduro, had turned and remained a strong advocate for cryptocurrencies since when the country’s economy grew worse as a result of U.S. economic sanctions. He, therefore, launched the first government-backed crypto coin in Venezuela, dubbed Petro. As much as the president tried enforcing Petro adoption, Venezuelans preferred other decentralized and popular coins like BTC, ETH, etc.
The COVID-19 pandemic has also made Venezuelans turn more to crypto after Maduro ordered that all banks be shut to slow the virus spread. It made people turn towards cryptocurrencies more. The country is one out of few countries globally whose government supports crypto.