The demand for Bitcoin, which last night experienced its third halving in its history that lowered the reward given to miners for mining a block from 12.5 to 6.25 BTCs, could increase significantly in Brazil.
According to a report published yesterday by Delphi Digital entitled "The State of Bitcoin,” investors could turn their interest to the cryptocurrency after the country's central bank has cut interest rates to 3% and the national currency, the Real, has lost 30% of its value against the US dollar.
Per the report, this exodus could lead to investors investing their funds in Bitcoin:
"This is not to say that capital flooding out of emerging markets will flow right into bitcoin… but the sheer size of this potential move could serve as another demand source for BTC, especially if tighter capital controls become more commonplace."
The YTD performance of Bitcoin was a 74% higher than that of the Real and a 21.9% higher than that of the US dollar.
The regulatory pressure on cryptos is pretty strong in the country. Thus, in February iHodl reported 2 crypto trading platforms had been forced to shut down due to pressure from regulators.
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