In this regard, CoinDance, a website offering cryptocurrency data, indicates that LocalBitcoins trading volume in domestic fiat currency in Argentina and Venezuela have recorded historical highs.
As per the information provided by the website, in the week ending December 21, more than 32.60 million Argentine pesos, worth roughly $544,905, is traded on the platform, reflecting 34% increase from two weeks earlier.
In Venezuela, on the contrary, more than 248 billion bolivars (more than $24.80 million) were exchanged on LocalBitcoins in the same period, almost 15.6% higher than the historical high volume recorded in the earlier week.
Last month, P2P trading volumes started increasing in Venezuela and set records after the country’s central bank started restraining Bitcoin inflows. Likewise, the regulator made a decision to prohibit the citizens of Argentina from purchasing Bitcoin (BTC) with credit cards after limiting the value of purchase to $200 per month.
In September, the Argentine central bank revealed its plan to boost the peso’s monetary base by 2.5% every month for two consecutive months. The capital limitation initiatives began after that decision.
Venezuelan citizens, on the contrary, obviously utilize Bitcoin to safeguard themselves from acute inflation of the Venezuelan bolivar. The rising volume was also driven by late September reports that the domestic central bank is studying the feasibility of investing in Bitcoin (BTC) and Ether (ETH).