The CEO of Coinbase believes that Brazil and Argentina should “Consider Switching to Bitcoin”


Brian Armstrong, co-founder and CEO of Coinbase, recently remarked on a Financial Times (FT) article regarding Brazil and Argentina beginning “preparations for a shared currency.”

As you may be aware, on 5 June 2021, Zap Solutions (a Lightning Network-based Bitcoin payments firm) Founder and CEO Jack Mallers said at Miami’s Bitcoin 2021 conference that El Salvador’s government intended to approve legislation making Bitcoin legal cash.

During his speech, an emotional Mallers delivered a recorded video greeting from President Bukele and read a little portion of the proposed legislation. Mallers continued by stating that his company will create an innovation centre in El Salvador with assistance from Blockstream.

On 9 June 2021, the Legislative Assembly approved this proposed legislation (with 62 out of 84 voting in favour of it).

Then, on 25 June 2021, Reuters released a story stating that El Salvador President Nayib Bukele had declared on 24 June 2021 during a national speech that the “Bitcoin Law” will go into force on 7 September 2021.

On 6 September 2021, President Bukele said that his nation had purchased its first 200 bitcoins and intended to purchase “a great deal more.”

El Salvador is predicted to have acquired a total of 2,381 bitcoins since September 2021, after making eleven Bitcoin acquisitions. On 30 June 2022, El Salvador purchased 80 coins at an average price of $19,000 per coin.

The Financial Times stated on 22 January 2023 that “Brazil and Argentina will declare this week that they are beginning preliminary work on a unified currency, a move that may ultimately establish the second-largest currency bloc in the world.”

The report continued by stating: This week, the two largest economies in South America will debate the concept at a meeting in Buenos Aires and ask other Latin American states to participate. The first emphasis will be on how a new currency, which Brazil considers naming the ‘sur’ (south), may increase regional commerce and lessen dependency on the U.S. dollar… It would first circulate alongside the Brazilian real and Argentine peso.

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