Hacker News Reader

Comment by na85 | Hacker News Reader

>blockchains are useful now

Honest question: for what?

I've yet to hear a use case where blockchains are actually solving a problem, other than "buy things on the black market".

View on HN

I think that the EVM hasn't found its great use yet. But Cryptocurrencies in general are being used widely for international currency movements and as currency in distressed countries like Venezuela where the 'black market' is just the regular market due to government instability.

The Venezuelan bolívar is not a good example of prime markets for cryptocurrencies. The forced exchange rates, runaway inflation, and general mismanagement has created a black market in which literally any other currency is better.

How would you send fiat to a family member stuck in Venezuela ? I agree that the value of cryptocurrency is hugely inflated, but it's not zero either. It's a good fit in some scenarios.

How would said family member actually convert the crypto into something that can be spent in their day to day lives?

With an exchange that transfers money to your local bank account? I know at least two that do that for Venezuela.

You could (and people do) send gift cards, or pre-paid debit cards. These have the added benefit of being accepted in stores, etc, whereas cryptocurrencies... not really?

Anything of value sent via snail mail gets seized. CC and bank accounts denominated in USD can't be used. There is a black market where people pay with physical USD and crypto.

That's why people send the gift cards electronically, and they sell them on Facebook or something similar.

I think it is a good example because cryptocurrencies solve the confidence issue people have in the local currency and takes away control of a single government to impose controls and depreciate the currency. You also get to bypass the notoriously bad banking system and since bank transfers cannot be reversed here, it's actually safer to trade bitcoins to bolivares than it is to trade bitcoin to USD using Zelle or PayPal.

Again, any currency solves the confidence issue, even gift cards, not just cryptocurrencies. There's an entire black market exchange with other currencies already in place.

Paying people across borders.

I can already do that with my bank.

Reply on news.ycombinator.com