Yes, that’s quite the title, I know. But after seeing the hundredth post on the frontpage talking about altcoins that have real use cases, I can’t stop thinking about this one.
You all know Venezuela, right? The country with space-high inflation rates, the one that /r/cryptocurrency says crypto adoption is feasible.
Well, it’s finally really happening.
I’m Venezuelan, so let me explain some weird things about our economy. First, prices double every 3 months. Second, we don’t have access to USD bank accounts in the country. And third, physical cash is scarce: Bolivares because you need a lot of them to pay for little, and USD because the “dollarization” isn’t official, small change simply doesn’t exist (coins, for example). This creates the perfect variables for digital, exact payment. This is where the Reserve Protocol comes in.
We have been using some digital payments app since a while ago, apps like Zelle, PayPal or Transferwise. The problem with those apps is that they often close accounts in Venezuela to avoid problems with the US government. Simply put, those companies just didn’t want to deal with the problem that is Venezuela related legislation.
Enter [Reserve.](https://reserve.org/) The team at Reserve created a stablecoin alongside an easy to use app for mainstream use. The app allows people to deposit Bolivares (the local currency) from their bank account and instantly exchange them for dollars (RSV stablecoins!). You might be thinking, well, that isn’t that big of a deal, is it? Thing is, it is. Venezuelans can’t just exchange Bolívares to USD legally because there aren’t any bank accounts in USD inside Venezuela. The only way to save in USD would be to open an account in Panamá or risk your money getting lost in Zelle or PayPal. The app allows people to send RSV, pay with RSV, receive any crypto and convert it to RSV or Bolivares and so on. Reserve is literally saving people from hyperinflation.
Well, why do I say mainstream crypto adoption is happening? Because people aren’t paying in bolivares anymore. It is estimated that in 2020, 55% of transactions were made in foreign currency, and that number just keeps growing everyday. Now, the great part.
**The Reserve app has more than 100k downloads.** **People are using** **crypto, not as a way to invest, not as a store of value, but as it was intended: a currency.** And it’s happening right in front of us, but we’re too worried about the price going up or down so much that we missed the real reason crypto is here: to serve as a currency when fiat fails us. In my case, fiat failed me. And crypto, for me and many more, is the way.
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