“One of the greatest tragedies in life,” said author KL Toth, “is losing one’s own self-awareness and accepting what others expect of oneself.” For the Afghan people, nearly 40 million of them, loss Loss of self and life has become a cruel reality. With the control of the Taliban, chaos is now supreme. With the closure of businesses, thousands of people flee the country desperately. In addition, as the political system collapsed, so did the financial system.
As CNBC’s MacKenzie Sigalos recently pointed out, Afghanistan is “a country that operates on traditional financial tracks.” This painful liquidation lasted for 20 years, resulting in a “national cash shortage” and “border closures, currency devaluations, and rapid increases in basic commodity prices.” When the country quickly fell into the deepest point of despair, people felt desperate.
According to Sigalos, many banks in the country were apparently affected by the country’s rapid demise and “have been forced to close their doors after running out of cash”.To make matters worse, Western Union pause Its service. As Sigalos wrote, “Even the hundreds-year-old Hawala system-which facilitates cross-border transactions,” has been closed. The despair is beyond words. The Afghan people need assistance.
Thank goodness, grassroots Non-profit organizations are doing their best to helpThey are currently helping approximately 20,000 Afghan citizens “still in the country waiting for the US authorities to process special immigrant visas.” This is where the importance of cryptocurrency comes into play. In order to raise enough funds to resettle Afghan families, non-profit organizations are currently accepting Bitcoin (Bitcoin), ether (Ethereum), Bitcoin Cash (Bitcoin cash), Litecoin (LTC), Zcash (Jersey), Gemini Dollar (GUSD), Balancer’s BAL, Yearn.finance’s YFI, Polygon’s MATIC, Synthetix Network Token (SNX) and Bancor Network Token (BNT).
For critics of cryptocurrency, many of them question whether it has any use, and the events in Afghanistan show that it can really save lives. This may sound exaggerated-but it is not. In addition to non-profit organizations, more and more Afghan citizens are turning to cryptocurrency. In a CNBC article, Cigalos talked to a young Afghan who believed that a “Venezuelan-style situation” was coming. It may well be so. According to Bloomberg, as the Taliban seized control of Kabul in mid-August, the Afghani—the country’s currency— Dropped A record low.
Venezuela may provide a convincing blueprint for Afghanistan’s future. This South American country, suffering from hyperinflation, political instability and US sanctions, is in a terrible state. As the country fell into an economic crisis, cryptocurrencies such as Bitcoin and Ethereum showed their value. According to Venezuela’s cryptocurrency consultant And Cointelegraph en Español writer Jhonnatan Morales: “Many people mine and trade Bitcoin not to buy products, but to protect themselves from hyperinflation.”
related: Exploring Venezuela’s crypto ecosystem since the pandemic began
Speaking of Venezuela, the government recently Announced plans to remove six zeros From Bolivar. You don’t need to be an economist to realize that the Venezuelan government is doing everything it can to save a currency that has been in a hyperinflationary coma for years. Will the same fate await Afghanistan? If the government is not established soon, don’t bet on it.
In Afghanistan, as the Taliban scramble to implement some political order, cryptocurrency also brings hope to Afghans. In fact, there is a huge demand for cryptocurrencies in this region-in places such as Lebanon and Palestine. More and more Lebanese and Palestinians are very familiar with currency devaluation and political instability, and they are seeking solace in cryptocurrencies. according to For Arab business, as the Lebanese pound “continues to fall and the economic situation deteriorates”, people are turning to cryptocurrency, which is both an investment and a means of transferring funds abroad. In addition, according to the report, “more and more local small businesses, from grocery stores to fashion boutiques,” are accepting Bitcoin payments.
related: Why Pakistan and the Middle East can bet on cryptocurrency mining
Similarly, for those who quickly questioned why cryptocurrency is needed, Lebanon offers many answers.Since 2019, the Lebanese pound has Lost About 90% of its value.Political analyst and journalist Marwan Bishara, who has written numerous articles on the demise of Lebanon, tells readers that the Lebanese people have Become Get used to the “Shawarma Paradox”: Two years ago, the “National Sandwich” sold for 5,000 Lebanese pounds, or about 2 US dollars; today, it sells for 20,000 pounds, which is less than 1 US dollar. This seems to be a kind of black humor, but there is almost no sense of humor in the demise of the national currency, and it is basically worthless.
In Palestine, about 120 miles away, the independent country’s monetary authority is currently debating whether Issue your own digital currencyAs Palestine seeks further independence from Israeli rule, digital currency will at least provide it with a form of monetary independence. There are so many unsuspecting commentators who pay attention to the bad guys who use encryption, and very few people pay attention to the desperate people who use it to survive. This brings us back to Afghanistan, a turbulent place plagued by acts of terrorism and political instability. The country’s future is uncertain, but cryptocurrency provides a lifeline for millions of Afghans who are dying.
The views, thoughts, and opinions expressed here are only those of the author, and do not necessarily reflect or represent the views and opinions of Cointelegraph.
John McGlion Is a researcher and cultural commentator. His works have been published in publications such as The New York Post, The Spectator, The Sydney Morning Herald and The National Review.