Cuban Economy and Bitcoin

[Ritch]

In the recently closed thread about the US axis of evil El Pres commented that things may get a little easier for Cuba with the Euro banking system setting up a Euro based version of the Swift payment system.

However options are already open to Cuba and others who are shunned by the US banking system. Crypto currencies have been around for a while yet and they care not where the currency goes or what for.

Of course the issue is getting hard currency into and out of crypto currencies. There are exchanges that will do this but many are US based.

Crypto currency is also being used by refugees fleeing war torn countries to get their life savings out of the country, all they need to remember is a username and password.

It is also further being used by criminal organisations to move money around and I dare say shady government organisations who wish to make anonymous payments.

So the question is, with the above usage and clear demand for a decentralised, mostly anonymous and unregulated payment system is crypto currency here to stay?

[Corylax18]

I'm not sure I understand the question, but I'll take two swipes at answering. Yes, the underlying technology that Bitcoin and other crypto currencies rely on is a game changer in terms of financial clearing and how we can move currencies from one place to the next. Ignore "Bitcoin", Ignore "Ethereum" and focus on what makes them tick. 

Is it a viable option for Cuba? No. They cant even manage their current dual currency system successfully. Nor do they have even the basic telecommunications infrastructure in place to make frequent, regular transactions. The pace of change in Cuba is Glacial. Citizens are accepting and adopting technology much faster than the government and military are. 

If there was any chance of this happening in the near future, it would have already. If Cuba was willing or inclined to participate in a crypto currency, Venezuela's new "Petro" would have been tailor made. Venezuela is already sending every drop of Oil they can spare to Cuba, why not "clear" these transactions through the Petro? Its based in another western communist country and is tied directly to the price of oil, its seems like a perfect, smooth transition into this type of transaction for Cuba. 

Maybe Cuba trusts Venezuela as much as the rest of the world, maybe Venezuela was full of it and the Petro isn't actually a functioning currency, or maybe Cuba's lack of modern technological infrastructure is preventing it. Regardless of the actually reason, there is no apparent reason why it hasn't happened yet.

[Nino]

1 hour ago, Corylax18 said:

 

Is it a viable option for Cuba? No. They cant even manage their current dual currency system successfully. Nor do they have even the basic telecommunications infrastructure in place to make frequent, regular transactions. The pace of change in Cuba is Glacial. Citizens are accepting and adopting technology much faster than the government and military are. 

 

^^^This.