Brazil pushes for the use of national currencies within BRICS to decrease reliance on the US dollar, while Bitcoin adoption in El Salvador hits a low despite government efforts. Additionally, Argentina sees the first Cardano smart contract legally recognized, marking a notable advancement in blockchain applications.
In the latest edition of Latam Insights, we present significant developments in the Latin American economic and cryptocurrency landscape. Firstly, Brazil’s Foreign Affairs Secretary, Eduardo Paes Saboia, emphasized the nation’s advocacy for a shift among BRICS member nations towards the utilization of national currencies in international trade, seeking to diminish the region’s dependence on the U.S. dollar. This initiative reflects ongoing discussions among finance ministers and central bank governors of BRICS countries and aims to be a focal point at the upcoming summit in Kazan. In a contrasting scenario, Bitcoin adoption in El Salvador continues to experience a downward trend, as highlighted by a recent survey conducted by the Center for Citizen Studies in collaboration with Disruptive Magazine and Francisco Gavidia University. The findings indicate that only 7.5% of the population has utilized Bitcoin for transactions, a decline from the previous year. Critics have pointed out that despite substantial resources allocated to promote Bitcoin since its legalization as tender in 2021, citizens remain reluctant to embrace the cryptocurrency as a common medium of exchange. Lastly, Argentina has made significant strides in legitimizing smart contracts, with the first Cardano-based contract being recognized as legally binding in the country. This historic approval pertains to a loan agreement between two Cardano ambassadors and could set a precedent for future blockchain-based contractual arrangements within Argentina and potentially beyond. These developments underscore the dynamic nature of cryptocurrency and economic policies in Latin America, illustrating a region brimming with both challenges and opportunities. To stay updated on the latest happenings in Latin America regarding cryptocurrencies and economic matters, interested individuals may subscribe to the Latam Insights newsletter.
The article discusses key developments in the cryptocurrency and economic environments of Latin America, focusing on Brazil, El Salvador, and Argentina. Brazil’s initiative to move away from the US dollar among BRICS nations emerges as a strategic economic maneuver to enhance regional self-reliance. El Salvador’s struggling Bitcoin adoption is disheartening, especially given the promotion efforts from the government, which raises questions about the cryptocurrency’s viability as an everyday currency. Meanwhile, Argentina’s legal acceptance of smart contracts marks an important milestone in the integration of blockchain technology within formal legal frameworks, paving the way for subsequent innovations in contract law and commerce.
In summary, this edition of Latam Insights highlights Brazil’s advocacy for national currencies within the BRICS framework, the stagnation of Bitcoin adoption in El Salvador despite government support, and Argentina’s groundbreaking legal recognition of smart contracts. These developments not only reflect the evolving economic landscape in Latin America but also signify significant shifts in both the use and regulation of cryptocurrencies in the region.
Original Source: news.bitcoin.com
