Bitcoin is a way for financial freedom in many places in the world. It is no secret to anyone that in the 21st century there are many societies with little or no freedom. No matter the type of dictatorship--whether communist, fascist, military or monarchical--what these regimes always have in common is authoritarianism and totalitarianism. Nevertheless, technologies have played and continue to play a fundamental role in trying to counter the onslaught of these regimes. An example of this is the INTERNET, social networks (RRSS), and mobile applications.
These oppressive regimes always have a common purpose, which is to control the national means of production, the media, and above all the economy in general, which includes the financial system. All this to perpetuate itself in power and by continuing to feed the vicious circle that privileges a small group of hierarchs.
Therefore, it is not surprising that these regimes adopt economic measures such as the control of domestic currency exchange. The expropriation of private banks, the prohibition of international trade by citizens, the prohibition of the use of a currency other than the national one, and the prohibition of any other type of activity that threatens the financial system established by the political regime, such as trading and mining in cryptocurrencies.
It is here where digital currencies such as Bitcoin as a financial freedom tool and emerging technologies such as blockchain offer the possibility of contributing to the retaking of power in these oppressed nations--not only in the economic and financial sphere but also in the social sphere.
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Various global social phenomena give us examples of this:
China
China is completely controlled by the Chinese Communist Party. Although the country has progressed economically in recent decades, individual and social freedoms remain highly compromised, to the point that social networks such as Facebook, Google, YouTube, WhatsApp are prohibited.
Various prohibitions have also been imposed upon the cryptocurrency sector in China. For starters, the trading of decentralized cryptocurrencies is considered illegal in the country. The government has also excluded more than 170 cryptocurrency exchanges, especially those that are owned by foreign companies. Not to mention the threat and firm intention to ban digital mining in cryptocurrencies.
However, despite this, the citizens of this country continue to use Bitcoin for financial freedom. Chinese citizens do this through VPNs that allow them to circumvent censorship and continue their operations.
China also continues to be one of the most important and influential markets in the cryptocurrency sector, as well as one of the countries where cryptocurrencies are most mined-- which goes to show that technologies such as blockchain can be an excellent tool for promoting human rights no matter how strong and powerful an oppressive regime is.
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Venezuela
This country has become a great example of how technologies can reclaim human rights. Even in a society that has been plunged in an oppressive government system for over 20 years.
Venezuela has the highest rate of hyperinflation in the world. Leading to a constant loss of its citizens' purchasing power and, subsequently, their quality of life. The problem of hyperinflation in Venezuela has its origins in a set of bad political measures:
- Tight control of the nation's exchange system, thus limiting access to foreign currency for both citizens and businessmen
- Control of most of the nation's means of production through expropriations and nationalizations, including in key economic areas such as the control of raw materials (e.g. oil, gas, and gold). All this plus high levels of corruption has led to a huge decrease in national production.
- The attack on private companies has also reduced national production in other areas of the national economy, a situation that has led to more unemployment.
- Control of social media platforms. Fortunately, there is still access to the internet and social networks that are prohibited in countries such as China, North Korea, and Cuba.
Venezuelans look to cryptocurrencies for various reasons: to keep their capital in a stronger and more solid currency than the national currency. Obtain income through cryptocurrency trading, or simply obtain income for their services in the sector.
Therefore, it is not surprising that according to coin.dance Venezuela is one of the countries with the highest volume of Bitcoin trades in the world. We can see in the following table that this Latin American country is the fourth highest in crypto trade volume, only surpassed by the United States, Russia and England--who are all much larger both in population size and GDP when compared to Venezuela.
How can cryptocurrencies like Bitcoin can be used for financial freedom and support human rights?
By empowering people. And how does it do it? Through a set of characteristics offered by the decentralized nature of cryptocurrencies and blockchain technology that we will list below:
- Decentralization: This means that political regimes, central banks, and private banks do not have any control over Bitcoin.
- Easy access: We can dispose of our money 24 hours a day, 365 days a year.
- Universality: It does not matter in which country of the world with an internet connection. This is why access to the internet is in itself a human right par excellence. And that should not be restricted by totalitarian regimes.
- Safeguard and storage options: We can store crypto in our wallets either digitally or physically. That is, we can have our cryptocurrencies not only on preferred exchanges but also on our digital devices.
- Economy: Cheaper international transaction fees compared to when transacting fiat currencies
- Speed: Much faster transactions compared fiat currency transactions. And even more so when transacting with cryptocurrencies such as Litecoin, Dash, and EOS.
- Privacy: In general, cryptocurrencies offer much more privacy than fiat currencies. While you can find out what amount each Bitcoin and Ethereum wallet has since these transactions are public in order to promote transparency. It is still difficult to trace the wallet back to its owner. Nevertheless, those who wish to be completely anonymous can opt for cryptocurrencies such as Monero, Dash, and Zcash that can provide you with absolute confidentiality.
The power and potential of cryptocurrencies like Bitcoin are so great that it not only puts the economic monopoly of oppressive regimes at risk. But it also does so with the monopolies of "democratic" countries that are usually governed by governments and central banks.
How can Bitcoin and other cryptocurrencies claim human rights beyond the economic and financial sector?
- Cryptocurrencies are an excellent method of financing activists in oppressed countries so that they can continue their struggles. For example, the financing of Julian Assange. Who requested the use of Bitcoin to finance Wikileaks. Assange made this request largely because governments prevented people from donating to Wikileaks via conventional methods of funding. This was the largest Bitcoin use case as a financial freedom tool ever seen and the reason for one of Bitcoin's first price spikes.
- Decentralized cryptocurrencies do not belong to any state or government. It can be used worldwide regardless of geographic and political barriers. Bitcoin provides the possibility of trading with the outside world for those in oppressed countries.
- In oppressed countries, the loss of purchasing power in their inhabitants due to inflation or hyperinflation is very common. Nobody denies the volatility of Bitcoin. However, though it tends to grow in the long term since the exact number of coins is known.
- In hostile nations, events are unpredictable, and activists' struggle for human rights never ends. For financing cases within totalitarian regimes, Bitcoin scalability are handy because they work 24/7, 365 days a year. On top of that, transactions take just 10 minutes or an hour when using Bitcoin.
- For entrepreneurs, micro-entrepreneurs, and even common citizens in countries where human rights and liberties are curtailed, digital currencies such as Bitcoin offer a great opportunity to undertake their work or trade. For example, a professional in Venezuela can provide remote services and collect their fees through Bitcoin. This is without a doubt another way to stimulate freedom and human rights in oppressed nations.
- Often in oppressed countries, citizens cannot travel to or leave their nation. Bitcoin offers greater possibilities for them to do so since there are airlines that accept cryptocurrencies as a form of payment
Conclusions
When the liberties of people have been restricted by regimes, people will look for an alternative route to freedom. Decentralized cryptocurrencies have become great tools that empower the citizens of the world. With greater independence from oppressive political regimes, while new technologies such as blockchain have become the torches that all persons
