Bitcoin (BTC) Adoption Gains Steam in Afghanistan Amidst Taliban Takeover

Bitcoin (BTC) Adoption Gains Steam in Afghanistan Amidst Taliban Takeover

CNBC tech expert MacKenzie Sigalos shares powerful stories about what it takes to be a young Bitcoiner in Afghanistan right now.

For the unbanked

Mr. Sigalos shared the stories of cryptocurrency enthusiasts in Afghanistan. The first of her speakers, Farhan Hotak, is a vlogger and trader who treats Bitcoin (BTC) and crypto as the way to get access to both a reliable money transfer instrument and to get rid of poverty.

Mr. Hotak claims that digital currencies are his only hedge against inflation as the national currency spirals:

I have very, very, very limited resources to do anything. I’m interested in the crypto world, because I have earned a lot, and I see a lot of potential in myself that I can go further.

As Taliban forces regain control over the territory of Afghanistan after NATO troops are withdrawn, the majority of banks are experiencing a shortage of cash.

As Western Union has frozen all transfers to and from Afghanistan, many expats cannot send money to their families inside the country. These restrictions are accompanied by lightning-fast price increases.

Amidst this unparalleled crisis, interest in crypto and Bitcoin (BTC) spiked to an all-time high, according to the Google Trend monitoring service.

Crypto community might grow in stealth mode

As the Taliban is establishing new governance and public institutions, crypto enthusiasts in Afghanistan prefer to operate stealthily; they are not even connected to each other.

However, the Chainalysis metric of the Crypto Adoption Index for Afghanistan is the highest among all Central Asian countries. With a level of 0.13, Afghanistan can compete with the likes of Great Britain. It surpasses every European country except Ukraine by a wide margin.

For years, the Digital Citizen Fund founded by two sisters educated Afgan peoples on computer technologies, including blockchain. That is why some citizens of Afghanistan are using crypto as a hedge against inflation and, moreover, for retail payments.

Some other "early adopters" buy crypto with the assistance of their relatives in the Gulf countries. At the same time, it is still unclear whether Bitcoin (BTC) and Ethereum (ETH) are mined in Afghanistan.

As covered by U.Today previously, the Afghani healthcare ministry experimented with a data framework based on the Fantom (FTM) blockchain.