The Daily Hodl
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Guest Post
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • ChainWire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Binance Coin (BNB)
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Post
    • Press Release
    • Sponsored Post
    • Advertise
  • EMAIL ALERTS
  • DAILY HODL MIX
No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Guest Post
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • ChainWire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Binance Coin (BNB)
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Post
    • Press Release
    • Sponsored Post
    • Advertise
  • EMAIL ALERTS
  • DAILY HODL MIX
No Result
View All Result
The Daily Hodl
No Result
View All Result

Central Bank’s Twitter Response Highlights Struggle in Emerging Markets and the Declining Value of Old Paper Money

by Daily Hodl Staff
May 13, 2020
in Blockchain, Futuremash
[the_ad id="93550"]

Emerging market currencies are facing fresh record lows against the US dollar. With central banks taking extreme measures to combat the economic fall-out from the coronavirus outbreak, along with the severe impact of slumping oil prices, people in South Africa, Iran, Mexico, Brazil and elsewhere are facing devalued or collapsing currencies as well as massive foreign debt.

For the first quarter of 2020, the MSCI Emerging Market Currency Index, which tracks emerging market currencies, showed a 6% drop, the biggest quarterly decline since 2015. Heading into April, several currencies posted sharp declines in value against the US dollar.

  • South Korean Won -5%
  • Turkish Lira -14%
  • Brazilian Real -23%
  • Mexican Peso – 24%
  • South African Rand -32%

Last week, Iran passed a bill to rename the rial, slashing four zeros from its currency. The new “toman” will equal 10,000 rials or 100 “gheran” which is yet another new currency denomination.

Abdolnaser Hemmati, governor of Iran’s central bank, says the dramatic reform is imminent. He told parliament on Monday that the currency’s latest downward spiral is part of a long-standing systemic problem, reports the Financial Times.

“Currently, our money has a horrifying difference with euro and [one rial] equals €0.000006. The efficiency of the national currency has declined due to chronic inflation over five decades.”

The Central Bank of Kenya highlighted its inability to offer any guidance on old paper money that has depreciated, telling a holder they had “no advice to give”.

Sorry, we have no advice to give. https://t.co/wxEKElJqY5

— Central Bank of Kenya (@CBKKenya) May 13, 2020

In Miyani, a small village in Kenya, consumers are seeing an uptick in the number of people using a blockchain-based digital currency called sarafu to make daily purchases of food and other household goods. By sending the currency through smartphones, users avoid Kenya shillings. According to Will Ruddick, a board member at Grassroots Economics which runs the sarafu network, activity has surged over 500% since 2019.

Emerging markets are also coping with the crippling effects of the tourism industry which has been wiped out by Covid-19. Speaking on Wednesday at a conference hosted by the Financial Times, the IMF’s chief economist Gita Gopinath says she expects the global economy to continue its downward spiral due to a collapse in consumption.

“If anything, it looks like the outlook will worsen.”

The IMF is forecasting a recovery for both advanced economies and emerging and developing economies in 2021.

[the_ad id="95413"]
Check Latest News Headlines


 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/Walid Kilonzi

Submit a Press Release

Industry Announcements

  • Peer Acquires Elite Team of Engineers Behind Zenly’s Popular 3D Maps
    February 1, 2023
  • Sign Up Today for the TRON Grand Hackathon aka HackaTRON Season Four
    February 1, 2023
  • MegaWorld Land Gameplay on BNB Chain Starts February 15, 2023
    February 1, 2023
  • Web 3.0 Hackathon on Astar Sponsored by Toyota Motor Corporation
    February 1, 2023
  • Match-Trader White Label by B2Broker Gives Brokers a Comprehensive Online Trading Platform With B2Core Integration
    February 1, 2023
  • Addressable Raises $7.5 Million To Enable Web 3.0 Companies To Acquire Users at Scale
    January 31, 2023
  • SIMBA Chain Awarded $30 Million US Air Force STRATFI
    January 31, 2023
Submit a Guest Post
ADVERTISEMENT
Bitcoin
$23,838.39
$23,838.39
3.32%
Ethereum
$1,670.69
$1,670.69
6.06%
Cardano
$0.40094
$0.40094
5.17%
XRP
$0.414865
$0.414865
3.44%
Dogecoin
$0.093809
$0.093809
1.62%

Spotlight

  • Top Crypto Trader Says One Ethereum Rival Could Erupt by 100%, Updates Outlook on Bitcoin and Altcoins
    January 26, 2023
  • DOJ Seeks To Cut Off Sam Bankman-Fried’s Communication With Key People Involved in Fraud Trial
    January 29, 2023
  • ARK Invest’s Cathie Wood Details Massive 2,000% Bitcoin Rally Prediction After Crypto Market Bounce
    February 1, 2023
  • U.S. SEC Once Again Rejects ARK Invest’s Proposal for a Spot Bitcoin (BTC) ETF
    January 27, 2023
DON'T MISS A BEAT
Crypto headlines delivered daily
to your inbox
BTC, ETH, XRP news alert options
By joining The Daily Hodl news list you agree to our
Terms and Conditions and Privacy Policy.
Featured Image: Shutterstock/Billion Photos

Cryptocurrency news and analysis, covering Bitcoin, Ethereum, Ripple, XRP, altcoins and blockchain technology

Categories

Bitcoin • Ethereum • Trading •
Ripple and XRP • Altcoins •
Blockchain • Regulators •
Scams • Crypto101 • HodlX •
Futuremash •
Industry Announcements

ABOUT US | EDITORIAL POLICY | PRIVACY POLICY
TERMS AND CONDITIONS | CONTACT | ADVERTISE

JOIN US ON TELEGRAM

JOIN US ON TWITTER

JOIN US ON FACEBOOK

COPYRIGHT © 2017-2023 THE DAILY HODL

No Result
View All Result
  • FEATURES
    • News
    • Bitcoin
    • Ethereum
    • Ripple and XRP
    • Altcoins
    • Trading
    • NFTs
    • Blockchain
    • Futuremash
    • Regulators
    • Scams
    • Crypto 101
  • HODLX
    • Latest Stories
    • FAQ
    • Submit Guest Post
  • INDUSTRY ANNOUNCEMENTS
    • Latest
    • Press Releases
    • ChainWire
    • Sponsored Posts
    • Submit Your Content
  • CRYPTO MARKETS
    • Bitcoin (BTC)
    • Ethereum (ETH)
    • Binance Coin (BNB)
  • BEGINNERS
    • What Is Bitcoin?
    • What Is Blockchain?
    • What Does Hodl Mean?
    • How to Pay Your Bills with Bitcoin
    • Best Bitcoin FAQs
    • Example of Bitcoin’s Purpose
    • Cryptocurrency Has Multiple Meanings
    • Authenticator Alert – Securing Your Crypto
  • SUBMIT
    • Guest Post
    • Press Release
    • Sponsored Post
    • Advertise
  • EMAIL ALERTS
  • DAILY HODL MIX

© 2023 The Daily Hodl