Venezuelans turn to Bitcoins to bypass currency controls

Re:Venezuelans turn to Bitcoins to bypass currency controls by climber_mac on Wednesday October 08, 2014 @10:40PM (#8430537)

I have never bought bitcoin with the allowance. In case anyone is wondering, the government sells each Venezuelan $300 per year at the official exchange rate. This is the only amount that we're given without having to go through a lengthy process that typically involves having 'friends' within the government to pull strings for you. People usually buy Amazon gift cards with the money.

It's too scary to put your money in another volatile currency - I suppose people prefer dollars because they are stable and can be spent on popular e-commerce sites.

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Re:Venezuelans turn to Bitcoins to bypass currency controls by personlurking on Thursday October 09, 2014 @03:29AM (#8431198)

Are there no alternative currencies in Venezuela (like the Palma in Brazil)?

http://en.wikipedia.org/wiki/Banco_Palmas

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Re:Venezuelans turn to Bitcoins to bypass currency controls by gabzuka on Thursday October 09, 2014 @04:36AM (#8431348)

I don't know if they have an alternative currency but there are some community banks similar to that one operating there (http://www.bankomunales.com/ (in Spanish)).

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Re:Venezuelans turn to Bitcoins to bypass currency controls by personlurking on Thursday October 09, 2014 @05:58AM (#8431501)

Cool, thanks for the link. For anyone else interested...

"Fundefir created a model of self-managed financing called Bankomunales con K, based on the exclusive use of funds from members of community groups, as a source of financing."

"Currently, there are around 150 groups, or Bankomunales, in 9 Venezuelan states."

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Re:Venezuelans turn to Bitcoins to bypass currency controls by bjfish on Thursday October 09, 2014 @09:58AM (#8432349)

Does anybody there take out loans in Bolivar, use the Bolviar to buy $300 at the official exchange rate, then sell a few of those purchased dollars in the black market to repay the loan immediately?

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Re:Venezuelans turn to Bitcoins to bypass currency controls by hopeee on Thursday October 09, 2014 @12:12PM (#8433292)

ye this is a pretty common practice, in fact, this is mainly the reason of why we have such high inflacion (because there is people, who, of course are gov related but also anti-gov, who only care to make free money from exchange corruption and they have alot of intentions to keep this going on).. also there is a 3000$ allowance to expend in travels wich you pay at 11 Bsf per USD, wich made a huge business for your average joe people since you pay the gov 33k Bsf but once you "cheat" the system, you get a return of 270k BsF after paying the gov. This is the major reason of all those flights problems in our country, because in order to get this 3000$ quota, you need to buy a plane ticket, airlines also want their cut on the huge bussiness so they sell overpriced tickets that people who will "cheat" will still buy, also note that the "big debt" that the gov has with the airlines is because when airlines sell a plane ticket in BsF they take the 100 Bsf Per USD rate, but then they expect the gov turns all those BsF into USD at official 6,3 rate, thus the gov "owes" the airlines billions of billions.

Anyways this is just a resume to see how everything is related, anyways as alot of people says here, bitcoin wont help at all. Sorry for mistakes in english . :) Edit: BsF = Bolivar

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