NEW YORK (InsideBitcoins) — If there’s one thing that makes people more uncomfortable than anything else, it’s not quite knowing whether their money will mean anything. Americans don’t know what this means because the U.S. dollar is one of the most secure currencies in history. But for people from a country like Venezuela, it’s a real fear.
Juan Llanos, the executive vice president of strategic partnerships at Bitreserve, being a native of Argentina knows a thing or two about economic unrest.
“The reason is that to us, inflation is not a theoretical concept studied in college. The effects of high inflation are very real. The rise of the cost of basic goods affects every single person,” Llanos told Inside Bitcoins.
The fact is, currencies can gain and lose value in the matter of days in a country like Venezuela. “The common citizen of countries like Venezuela or Argentina, grows, lives and dies feeling in their own flesh, the deleterious effects of a mismanaged economy,” added Llanos.
For that reason, it becomes crystal clear why a Venezuelan would want access to bitcoin rather than the country’s currency. While bitcoin has been undergoing its own volatility, it is not because of a central government; rather, it’s this very decentralization that makes bitcoin so alluring.
“But now, bitcoin represents a new alternative –bitcoin, an asset that, in spite of the high volatility, is a much better store of value than what the citizens of Venezuela or Argentina know,” Llanos said.
Because of this, many entrepreneurs are looking to bring Bitcoin to the developing world. Kevin and Victor Charles, Venezuelan-born brothers based in New York, launched the “SurBitcoin” exchange last week. The goal is to connect buyers and sellers of bitcoin online.
“In fact, for many millions of people, it [bitcoin] could be the only alternative. That’s why so many entrepreneurs are targeting emerging markets like these,” Llanos said.
Where there is opportunity, entrepreneurs will follow. The opportunity right now is to find a currency that is out of the grasp of the government. And Llanos says that fear of oppression is what drives so many.
“An alternative, censorship-resistant store of value provides a glimmer of hope for millions who would otherwise be condemned to remain under the yolk of oppressive regimes.”