How Argentinians are making more money from scrap metal in their Peso coins than official exchange rates
1 min read
Argentina’s inflation has hit 108% leading to steep devaluation of the currency due to hyperinflation
Metal being seperated in the coins to sell as scrap
https://twitter.com/i/status/1659545956289748993
The coins seen in the video embedded in the tweet are 2 Argentine Pesos
Each coin consists of about
1.2g nickel 5.5g copper
And this metal is worth $0.07 after refining
But at the real exchange rate, it comes down to $0.04 as opposed to the depicted $0.08 on official exchanges
The scrap value of the coins have been greater than the face value for the peso since 2018
Eventually this is bound to happen to all fiat currencies with the way the government is making the money printer go brrrr all the time
Crypto allows individuals to hold and transfer their wealth across borders quickly and with lesser fees. In hyperinflationary environments, where local currencies rapidly lose value, citizens can convert their assets into cryptocurrencies, which retain value and be easily transported across the globe as stablecoins of other currencies such as USDT or EURS or BGBP; or using coins such as BTC, ETH, XLM, LTC…etc. This helps the retails protect their net worth from losing its purchasing power due to hyperinflation.
How close are you to face this situation in your country ?
submitted by /u/Aim_Sux
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