Cuba assessing cryptos as an economic crisis measure

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Cuba assessing cryptos as an economic crisis measure

On Tuesday, the 2nd of July 2019, the communist government of Cuba said that it had been examining a potential use of digital currencies or cryptocurrencies as a part of a cascade of financial measures to ramp up the nation’s grief-struck economy amid a number of US bans.

In point of fact, cryptocurrency usually allows a transaction to be carried out anonymously and it had been gaining mass-popularity in recent past to get around the financial watchdogs. Besides, one of Cuba’s top ally, Venezuela had introduced and adopted mass usage of a cryptocurrency last year to execute transactions amid US sanctions and to grapple with its hyperinflation, however, it remained unknown so far whether Venezuelan crypto got off the ground properly.

In fact, Cuba’s state-controlled financial skeleton had been rattling over the recent past, as it had been witnessing a sharp plunge in Venezuelan aid, declining exports and an escalation of generation-old trade embargo with United States under US President Donald Trump, although a majority of far-left South American economies had been in a truce with United States during former US president Obama’s term.

However, on Tuesday (July 2nd), President of Cuba, Miguel Diaz-Canel had announced the new financial measures which actively included cryptocurrencies, at a roundtable meeting with other government officials at the state-run television media, saying that the financial measures would heighten income for about a quarter of the nation and accelerate an overhaul of one of the last Soviet-style economic structures in the world, started by former Cuban president Raul Castro.