How to protect and make money from depreciating currency?
For many experts it is easy to answer this question, but this article is not dedicated to them, I wrote it for enthusiastic people like you and me, who want to know a little more every day.
In many countries, currency devaluation is common and people seek various alternatives to preserve their money or purchasing power. It is sad to feel how every day money is worth less and the saddest thing is how hard it is to earn it.
Banks are no longer a refuge for money, perhaps they were the solution for our grandparents because at that time money earned interest and did not lose value given that the economy was better.
Currently, banks are a temporary service that we use to make payments. In my personal case, I use it for that. I pay with my debit card and that's it, I don't need to carry a lot of cash (fiat money).
It is more practical for me to have my money saved in stable cryptocurrencies like USDT, which you surely know.
Saving in stable cryptocurrencies, personally, I believe it is an intelligent solution.
Some people who live in high inflation countries (third world) are always looking for solutions to these problems by buying valuable assets like cars, houses, or goods. I prefer to buy cryptocurrency.
Many times, having cash dollars, kept in the bank or at home is not a solution, but a problem (they can break into your house to steal) also banks charge handling fees and if you exchange them for your local currency they give you lower rates than the foreign exchange market.
If you live in Venezuela, I imagine you understand perfectly what you are reading.
How can I obtain USDT?
Easily with a Binance account, using the p2p service.
In minutes you can exchange your local currency from your cell phone or computer, transferring your money to one of the p2p kiosks that will put the USDT in your account.
If you don't know how p2p works, I recommend you watch videos on YouTube and follow the steps to the letter.
If you have cash dollars, you can take them to a specialized exchange house, they will exchange your physical dollars to USDT in your Binance account. Obviously, with the payment of a commission. They are service companies and you have to pay them.
The advantage of having your USDT is that you protect your savings from the inflation effect, they are not held by a bank because you keep them in Binance or you can keep them in a wallet or hardware wallet. On the other hand, private banking is not interested in knowing what you have, your money is yours and that information is confidential, neither the bank nor the tax authorities should be interested in your income, you earned it, not them. With the inflation that one pays daily is more than enough tax.
So if the economy continues to devalue your currency, you don't have to worry because when you exchange your USDT you will get a good market rate.
And if the dollar goes up or down or they adjust the prices of products, it won't affect you either, and thus it will be one less headache.
Compare the exchange rate at which you sell your USDT in p2p and compare it to your bank's rate or the rate set by the government and tell me, which is better? You can do your own research.
And if you are risky, you can make your USDT yield by buying and selling cryptocurrency, interesting right?
Suddenly, you become a trader or deep down you are one and didn’t know it.
Perhaps this article may seem a bit basic or vague for experts, but I often read many comments from people who do not have much financial knowledge, which is why I wrote it.
This information is just to share my modest knowledge and is not financial advice. Operating in crypto carries risks, so please make the right decisions.
