ZB Academy: Digital currency will become an important tool to promote the development of Latin America

The rise of digital currency in Latin America in recent years has prompted many Latin American governments to carry out digital innovation applications, lead people into digital life, and become an important tool for solving social conflicts and promoting economic development.

According to the results of a 2019 survey by the research company Stadista, among the top seven countries where digital currencies are most commonly used, Latin American countries occupy five seats, namely Brazil, Colombia, Argentina, Mexico and Chile.

In recent years, governments of many Latin American countries have continuously increased the innovation and application of digital currencies. At the end of 2017, the Venezuelan government announced the use of crude oil as physical collateral and the issuance of digital cryptocurrency “Petrocoin” for international payments. In September this year, the Colombian government approved a new sandbox mechanism for crypto trading supervision, which will be officially launched next year.

Digital currencies are increasingly entering the lives of Latin American people. Since the beginning of this year, some Argentine real estate companies have studied the use of digital currency to pay for house purchases. Under the impact of the epidemic, residents of a tourist town in southern El Salvador began to learn Bitcoin investment knowledge and promote digital currency payments. Many Mexican expatriates living in the United States use digital currency to send money to their relatives in their hometowns.

Some Latin American countries have experienced economic recession and financial risks, with rising prices, currency devaluations, and high unemployment and inflation rates. People are looking for alternatives to legal tender, and encrypted digital currencies are beginning to be sought after. According to a survey, 73.4% of the Argentines interviewed said that in the current economic situation, digital currency is the most effective way to save.

Some media analysis pointed out that the promotion of digital currency development in Latin America is conducive to alleviating structural corruption in Latin America and promoting the development of social productivity.

Some institutions also pointed out the shortcomings and challenges of the development of digital currencies in Latin America. A report released in September by the blockchain analysis agency ChainAnalysis showed that in the past year, the growth rate of digital assets in Latin America has remained at a relatively low level globally. In addition, the investigative company Insight’s report shows that some cybercriminal organizations and drug cartels use digital currency-related technological achievements and trading platforms to engage in illegal activities such as money laundering, posing a threat to network and social security.

About ZB Group

ZB Group was founded in 2012 with the goal of providing leadership to the blockchain development space and today manages a network that includes digital assets exchanges, wallets, capital ventures, research institutes, and media. The Group’s flagship platform is ZB.com, the industry leading digital asset exchange. The platform launched in early 2013 and boasts one of the world’s largest trading communities.

ZB Group also includes ZBG the innovative crypto trading platform, and BW.com, the world’s first mining-pool based exchange. Other holdings include wallet leader BitBank, as well as exchange brands ZBM, ZBX and Korea’s Bithi.

Industry intelligence and standards are headed by the recently launched ZB Nexus who embody the core values of ZB Group and open-source their reports and analysis for the public.

Learn more about ZB Group by visiting www.zb.com.