Bitcoin has climbed in the last 24 hours, taking five cities in a row and recovering all of its lost ground from $32,000 to $36,000, with the price at $36,169.49 as of press time, an intra-day gain of 12.81%. That’s a 12.81% intraday gain. It’s already filled in all of the losses from Monday’s plunge.
Much of the strength against the bitcoin bulls over the past day has probably come from a Salvadoran who boasts of being “the most stylish and handsome president on the planet,” while social media in the foreign crypto community has been largely dominated by the “little Salvadoran greaser” who is the President of the Republic of El Salvador, Nayib Bukele.
Bukele changed his Twitter avatar to a laser eye on Saturday and claimed to be introducing a bill to make Bitcoin legal tender in the country (Legal Tender). Not many people really took this promise seriously, and more talk continued to revolve around the laser eye. Just as everyone was about to forget this “joke”, El Salvador passed the Bitcoin bill, making it the first country in the world to support legal tender status for Bitcoin, and incidentally accomplishing the goal of attracting traffic, the bill also includes permanent residency for those who invest 3 BTC in El Salvador. A trust fund will be created to cover the risk of merchants who accept bitcoin. Considering that Spain’s gold visa also only costs €500,000, Bukele’s wave could still bring significant economic gains to the country.
We also felt the push in terms of Bitcoin’s price fluctuations, quickly breaking through both the 33 and 34k resistance lines in less than two hours.
And now with El Salvador as a success story, other South American countries are starting to follow suit, with parliamentary politicians from various countries, throwing in the towel, with Panamanian congressman Gabriel Silva also saying he is working on a proposal to include bitcoin and other cryptocurrencies within the country’s legal tender. And Argentine politician Francisco Sánchez has also become part of the laser eye. Dozens of politicians within days have joined in this traffic spree.
South American countries have been plagued by inflation, and some of them, such as Argentina, have even experienced hyperinflation. As previously mentioned in the author’s article “Argentine People Turning Corruption into Magic, Crypto Mining Thrives on Extreme Argentine Government Policies”, in response to hyperinflation, and high-handed domestic monetary policies, the Argentine people have been exposed to bitcoin since early on, and bitcoin mining has even started to take root and thrive in Argentina based on the country’s dysfunctional economic state. Many South Americans have come to see bitcoin as a salvation from the perspective of living with dignity, so perhaps this “laser eye” craze is just a case of turning an “unspoken secret” into a “flag waving” wave. The “laser eye” boom is just a wave of “flag waving”. From this point of view, this wave of encryption in South America is worthy of our attention.
On the other hand, Warren Buffett, who has always been the representative of “smart money”, and who used to avoid talking about Bitcoin, seems to have seen the potential of the South American market in the news. The South American market has seen the potential of this wave. Just Tuesday, Warren Buffett’s Berkshire Hathaway announced that it had invested $500 million in Brazilian digital bank Nubank. And Nubank has acquired brokerage firm Easyvest, and the two financial firms plan to join forces to offer bitcoin ETF investments to their clients. nubank and Easyinvest have been in talks since the fall of 2020, and the acquisition is set to take place later this year.
The company received an investment of $14 million from Sequoia Capital back in 2014, when it was still a small company. Nubank is very popular with young people and has opened up the entire Brazilian market with virtual credit cards that make them feel in control of their accounts and spending. The company has also managed to lower the cost of the entire Brazilian payment market with 0 annual fees, very low interest rates, and easy account opening via the Internet. By 2020, Nubank had more than 20 million customers, about 70% of whom were younger than 36 years old, equating to the fact that Nubank has become a memory for an entire generation of Brazilian post-millennials.
Prior to Warren Buffett’s investment round, Redshirt already completed a follow-on round of investment in January, totaling $400 million, including funds from other investors.
The “smart money” is already explicitly backing the entire South American economy, and South American politicians are now working to tie in Bitcoin through laws, political tactics, and even social media influence. So after China and the US, will South America become the new dominant force? Let time give the answer, we’ll see.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/smart-money-endorses-the-rise-of-south-american-power-the-laser-eye-wave-of-politicians-may-forge-a-new-harbor-for-bitcoin/
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