Bitcoin reached a new high today, in Zimbabwe.
Today, on Zimbabwean exchange BitcoinFundi, BTC reached highs of $7200, remarkably higher than it's currently trading on other global exchanges ($3912 as the the publishing time of this article).
While at first glance it sounds insane it may not be. After near total economic collapse in 2008 (with their currency experiencing 11.2 million percent hyperinflation) and fear of it happening again, the government has taking a "full control" stance on everything financial, even locking their citizens out from using any credit card transactions.
This has sent people flocking to bitcoin for financial security, all while at the same time, fears of new rounds of hyperinflation circulate.
In other words, after being locked out from Visa and Mastercard, and a government providing totally untrustworthy paper FIAT cash that could become worthless at any time, Bitcoin is a shining beacon of hope.
A similar dynamic is happening in Venezuela, it's being called "Bitcoinization" - basically, when a government screws up so badly, people stop looking towards them all together, and turn to the blockchain.
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Author: Ross Davis
San Francisco News Desk
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