María Corina Machado recently discussed Bitcoin’s role in helping Venezuelans combat hyperinflation and economic collapse. She highlighted the severe economic challenges faced by Venezuelans, particularly under the Chávez and Maduro regimes.

Bitcoin as a Financial Hedge

Machado emphasized that the national currency, the bolívar, has been severely devalued by inflation, losing 14 zeros since 1999. She described Bitcoin as a “lifeline,” allowing Venezuelans to bypass government-controlled exchange rates and preserve their wealth.

“We envision Bitcoin as part of our national reserves, helping rebuild what the dictatorship stole.”

Venezuela’s Economic Turmoil

Venezuela has faced widespread economic turmoil, with inflation peaking at 1.7 million percent in 2018. This has crippled the economy despite the country’s vast oil reserves. Bitcoin has emerged as a tool of resistance, providing a way for citizens to protect their savings and fund their escape from the country.

Government Restrictions and Crypto Adoption

After Venezuela’s presidential election in July 2024, which saw protests against Nicolás Maduro’s re-election, the government blocked access to Binance and other online platforms. Binance confirmed the access issues but assured users their funds were safe. Additionally, the government ended the use of its state-backed cryptocurrency, Petro, amid scandals and inefficiencies.

Support from Opposition Figures

Fellow opposition figure Leopoldo Lopez also praised cryptocurrency in 2023, particularly stablecoins, for overcoming financial censorship and volatility. Despite Maduro’s control over the banking system, Lopez noted that crypto was used to distribute aid to healthcare workers during the pandemic, benefiting 65,000 people.

Looking Ahead

Machado envisions Bitcoin becoming a part of Venezuela’s national reserves. This move could help rebuild the nation’s economy and ensure financial autonomy as the country recovers from years of dictatorship.

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