Everyone’s money gets hit by inflation– UK was 10% last month. That means the money you worked for and saved buys less and less. And if you’re in the developing world like me, your money doesn’t just get hit by inflation. It gets slammed. Destroyed. Completely wiped out.
In recent years, the financial technology (fintech) industry has witnessed remarkable growth and innovation, revolutionizing the way we conduct financial transactions. One of the most intriguing aspects of fintech is peer-to-peer (P2P) crypto/fiat exchange, which has emerged as a game-changer in the digital financial landscape. In this article, we will delve into the world of P2P crypto/fiat exchange, shedding light on its significance and the ways it has transformed the financial industry.
Mucho se habla sobre criptomonedas en el último año en Cuba, desde el pasado 26 de abril de 202], cuando se publicara en la Gaceta Oficial una resolución que legaliza la creación de empresas privadas gestoras de criptoactivos. Sin embargo, el fenómeno cripto no es tan nuevo en la isla, su punto de mayor adopción se remonta a tres años atrás con el cierre de las operaciones de Western Union.
En países con alta inflación, las redes P2P pueden ser una alternativa atractiva a los servicios financieros tradicionales. Estas redes permiten a los usuarios enviar y recibir pagos de forma rápida, económica y sin la necesidad de intermediarios como bancos o compañías de remesas.
Inflation is one of the biggest challenges that migrants face in transit countries. Often, migrants fall victim to scams or are unable to obtain a fair exchange rate due to their legal status in the transit country. However, using P2P networks can help migrants convert their money into local currency and back into hard currencies with better exchange opportunities.
Cases such as Cuba, Venezuela, Ukraine, Zimbabwe, Lebanon, among others, top the lists of countries with the highest inflation rates worldwide (see Steve Hanke's list), economic analyst). In these places the citizens themselves use alternatives to the official market rates and international companies and banks, the informal market or free market is growing, which not only operates with fiat money but also incorporates Bitcoin and other cryptocurrencies as a store of value. However, the methods used to make person-to-person (P2P) exchanges lack the technological infrastructure to make the process fast and more importantly: free of scams.