#cryptonews
Brazil has seen a remarkable surge in crypto usage over the past few years, central bank chief Gabriel Galipolo noted.
He explained that about 90% of the digital asset flow in the country stems from stablecoins. These coins are pegged to tangible assets like the US dollar. As a result, they exhibit far less volatility than cryptocurrencies such as Bitcoin.
Further, Galipolo observed that most transactions involve purchasing goods both domestically and from abroad, a practice that clouds transparency in areas like money laundering prevention and taxation.
Many Brazilians have turned to cryptocurrencies as a safeguard. They seek protection against economic instability, rampant inflation, and the depreciation of their national currency.
As a result, many citizens have sought alternative stores of value. Bitcoin and stablecoins have become popular assets for preserving wealth and sending remittances. These digital currencies hedge against the volatility of the Brazilian real.
Brazil, one of Latin America’s largest economies, has struggled with currency depreciation and financial instability.
For many, crypto is more than just an investment. It is a gateway to wealth building in a rapidly changing global economy. This growing interest has placed Brazil 10th on the Chainalysis Global Crypto Adoption Index. This ranking reflects the country’s expanding digital asset market.
Tech-savvy millennials and Gen Z investors have embraced cryptocurrencies as a path to financial independence.