Venezuelan Banks Have Blocked Over 75 Accounts Since the End of Last Year Due to Cryptocurrency-Related Activities – Economics Bitcoin News

Venezuelan banks have begun to focus on their customers’ accounts related to cryptocurrency trading, mostly related to peer-to-peer (P2P) trading activities. Since the end of 2021, more than 75 accounts have allegedly facilitated crypto-to-fiat and fiat-to-crypto conversions, according to Legalrocks, a Venezuelan crypto and blockchain-focused law firm. , blocked by a private Venezuelan bank.

Venezuelan Bank Suspends Crypto-Related Accounts

Venezuelan banks have increased their vigilance against accounts commonly associated with cryptocurrency trading. According to a blog post published by Legalrocks, a Venezuelan law firm focused on cryptocurrency and blockchain, more than 75 account suspensions or cases under investigation have been registered since the end of 2021.

Ana Ojeda, CEO of Legalrocks, said using these accounts to receive fiat currency or exchange for cryptocurrencies should not be considered a valid reason for blocking the accounts. However, she clarifies that this will change if there are sufficient indications that the funds used in these transactions are illegal or related to criminal activity.

Similarly, transactions through cryptocurrency exchanges that are not approved by Sunacrip, the state supervisory body for cryptocurrency assets, may also be viewed as suspicious by financial authorities and warrant investigation.

love of stablecoins

Ojeda explained that stablecoin exchanges via P2P markets have become popular due to the economic downturn and the high level of devaluation experienced by Venezuelan fiat currency (the Venezuelan bolivar) during the year. doing. This means that people will use stablecoins as a store of value, buy when they receive fiat as payment, and then convert back to fiat to buy goods and pay for services. increase.

According to a report released by the United Nations in July, Venezuela ranks third among countries with the highest adoption of cryptocurrencies.

According to Ojeda:

Venezuela has led the region for several years as the Latin American country using cryptocurrencies the most to protect against inflation and loss of savings capacity.

The stablecoin-based P2P market has become so popular and widespread in Venezuela that some analysts say it may play a key role in the dynamics of the USD-Bolivar exchange rate. I think. In November, when the bolivar plunged 40% against the US dollar, economist Asdrubal Oliveros cited the collapse of FTX and custody exchanges as possible causes, along with the interaction of the cryptocurrency market and the larger economy. You mentioned the fear of holding.

What are your thoughts on Venezuelan banks suspending or investigating crypto-related accounts? Let us know in the comments section below.

Sergio Goshenko

Sergio is a cryptocurrency journalist based in Venezuela. He explains that he entered the cryptosphere in December 2017 when the price hike happened, and fell behind the game. Computers With an engineering background, living in Venezuela, and influenced by the cryptocurrency boom on a societal level, he offers a different perspective. About the success of crypto and how it can help the unbanked and underserved people.

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