By Richard Hines
Cardano CEO, Charles Hoskinson stated in a tweet that cryptocurrency will see widespread adoption if sovereign currencies continue to fail. Fiat currencies have fallen short of tolerable to unsustainable levels, resulting in increased inflation in countries and around the world.
Basis Of This Prediction
The succession of Lula Da Silva as Brazil’s newly elected president fueled this prediction. Da Silva previously served as President of Brazil but was imprisoned after being charged with corruption. However, the Supreme Court recently ruled against this case, and he was released.
This is wonderful and promising news for crypto, as Hoskinson previously stated his support for the cryptocurrency movement. Investors are anticipating the new outcome and the impact this succession and triumph will have on cryptocurrencies.
It is also worth noting that South America has contributed to this notion. South America’s new wave of acceptance is expected to propel cryptocurrencies forward into the global space as a means of payment.
Crypto Adoption In South America
Recent reports have surfaced showing trading activities on crypto by individuals living in South America even as far south as Brazil.
Individuals in South America use crypto as a weapon to combat inflation, make transactions, and earn profit regardless of size.
The chainalysis report revealed over 40% increase in crypto adoption over the last 12 months in South America. The constant inflation and currency instability has led individuals to find a more profitable way of investment and payment.
A staggering 1 million Brazilians were reported to have purchased crypto assets in recent months. This information was gotten from a survey on only local exchanges as information could not be gotten from foreign exchanges. This is because only local exchanges can be mandated to give a report on transactions carried out in the locality.
According to tax authorities, over 11,000 companies publicly acknowledged their association and engagement with cryptocurrency in August 2022.
Furthermore, there have been recorded crypto involvement in countries with weakening economies, with people seeking crypto as a safe haven free of inflation.
The case of global adoption is a very likely occurrence, as many economies have seen their national currencies plummet and their inflation rates skyrocket. Soon, cryptocurrency might be the new world currency.