16 April 2013

ARGENTINA : The Dollar Hungry Hunt For Greenbacks In Buenos Aires; Bitcoins Explore LatAm Exposure.

      If you are an adrenaline-fueled money junkie...but won't play the volatile virtual bitcoin realm or suddenly sagging gold market...you can always take your greenbacks to Argentina...and exchange them for pesos.
     The so-called blue market/illegal returns there can be a staggering 69% over the official rate.
     And...it's all done in a cloak and dagger atmosphere...that rivals Cuba today or the Soviet Union in the bad old days.
    Thanks to President Cristina Fernandez's severe dollar controls...and rampant inflation estimated at 20-30%...the currency black market is thriving underground in Buenos Aires.
    But consider...that buying or selling pesos on the 'blue market' is treated there as an act of 'terrorism'...and carries a maximum prison sentence of 8 years.
    Inflation also has citizens begging for larger bills...because the biggest...the 100 peso note...no longer buys much.
    ALSO: In an effort to lure Argentine savers...severely distressed by capital controls and inflation...a USA company will open a bitcoin exchange office in BA...where there is growing interest...in the 'gold for nerds.'