• In 1889, Puerto Rico suffered a 40% currency devaluation, caused by the United States declaring the U.S. dollar as legal tender of Puerto Rico.
• This resulted in Puerto Ricans borrowing money from the American Colonial Bank, but high interest rates made it very unlikely that locals were going to be able to pay back their loans.
• With the recent introduction of Bitcoin, Puerto Rico now has the potential to gain its own independence and identity, without being held back by the U.S. dollar.
Puerto Rico is a country with a rich history full of struggles and triumphs. For centuries, the people of Puerto Rico have sought to gain independence and sovereignty, and now, in the age of cryptocurrency, they may have found a way to achieve these goals.
In 1889, Puerto Rico was forced to accept the U.S. dollar as its legal tender, leading to a 40% currency devaluation and a crippling of the Puerto Rican economy. This was caused by the United States setting up the American Colonial Bank, and as a result of this, many Puerto Ricans attempted to save their net worths by borrowing money from the bank. Unfortunately, the interest rates were so high that it became very unlikely that locals were going to be able to pay back their loans. This eventually led to the bank seizing their assets, which in those days were typically their land.
In 2020, the U.S. dollar is still the official currency of Puerto Rico, leaving it vulnerable to the policies of the U.S. central bank. This has resulted in the people of Puerto Rico being unable to control their own financial destiny, as their currency is determined by outside forces.
However, with the recent introduction of Bitcoin, Puerto Rico now has the potential to gain its own independence and identity, without being held back by the U.S. dollar. Bitcoin is a decentralized digital currency, meaning that it is not regulated by any government or central bank, and it is not subject to the same rules as other currencies. This gives Puerto Rico the opportunity to create its own financial system, with its own rules and regulations, and to have total control over its own economy.
Furthermore, Bitcoin could be used to facilitate trade between the people of Puerto Rico and other countries. This would allow for the free and open exchange of goods and services, without having to worry about currency exchange rates or government control. It would also provide a secure and anonymous way for people to make payments, protecting them from fraud and identity theft.
All in all, Bitcoin could be the answer that Puerto Rico has been searching for. It could provide them with the independence and identity that they have been starved for, and it could be the key to a prosperous future. With the right regulations and policies in place, Bitcoin could turn Puerto Rico into the financial powerhouse it deserves to be.