Bitcoincuba Introduces Bitcoin to Cuba
Posted on August 25, 2015 Author Sarah Jenn
Bitcoincuba aims to introduce the cryptocurrency bitcoin to the Cuban
community, with the first transaction already made through a public
WiFi. According to founder Fernando Villar, this could show Cubans that
it is possible to transact using the cryptocurrency via Nauta, the
state-run public WiFi network.
"This will hopefully open everyone's eyes on the possibilities and
finally put Cuba on the bitcoin map," Villar mentioned.
Bitcoin in Cuba
The financial system is a little more complicated in Cuba, as there are
two official currencies in circulation. One is the peso, which is used
for government salaries and is worth $0.04, and the other is the CUC or
convertible peso, which is worth $1.
With that, the current two-currency system could make bitcoin
transactions a bit trickier since it distorts the economy. Reports
indicate that Cuba would have an even more difficult time if it switched
to a single currency since it might spur wage volatility.
On a more positive note, bitcoin could bridge these gaps, as it would
introduce a uniform monetary value that is also typically measured
against the US dollar. For now there aren't a lot of online merchants
accepting cryptocurrency transactions since this is a relatively new
concept in the country, but the increasing acceptance of bitcoin in
other nations in the region could help.
Earlier this year, a Caribbean bitcoin exchange called Bitt was launched
after having secured $1.5 million in seed funding from local VC Avatar
Capital. For founder Gabriel Abed, this could mark the start of
cryptocurrency growth in the region, as Bitt could act as a platform for
"very low-cost international commerce and remittance between the people
who need it most – the millions of unbanked and underbanked citizens in
BitcoinCuba has since expanded to Trinidad and Tobago, offering the core
services of mobile digital wallets, international remittances and
e-commerce merchant solutions.
Source: Bitcoincuba Introduces Bitcoin to Cuba - NEWSBTC -