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Venezuela keeps on breaking records in BTC trading volumes

In the face of continuing economic crisis in the country, Venezuelans keep on breaking records in bitcoin trading activity.

As it may be seen from the last week’s statistics provided by Coin Dance monitoring resource, bitcoin trade volume beats all previous highs with 1075 BTC worth more than $7 million in total having changed hands on LocalBitcoins cryptocurrency exchange alone.

Notably, BTC trade on the platform has been peaking for more than a month already, with 1073 BTC being traded in the first week of October.

The latest BTC trading spike results from multiple factors, including the continuing inflation, capital controls, foreign currency shortages, and general disbelief in the possibility of controlling their fiat savings shown by Venezuelans.

As reported earlier, Venezuelan banks have begun displaying their clients’ account balances in both “sovereign bolivars” and Petro cryptocurrency. This is generally seen as an attempt to popularize the state-backed Petro cryptocurrency on the part of the country’s authorities.

Petro has entered the market on October 29. However, the buyers have been receiving certificates of possession instead of the cryptocurrency proper so far.

Back in August, the country’s authorities carried out one of the most radical currency devaluations in history. The bolivar was stripped of 96% of its value, and the new “sovereign” bolivar is now tied to the national oil-backed Petro cryptocurrency. As for Petro itself, it was recognized as a “sovereign cryptoasset backed and issued by the Venezuelan state”. The issuance of coins is carried out by the country’s national bank. Petro coins are supposed to correlate in price with Venezuelan oil basket price, which is about $60 per barrel.