This is the second part in a continuing 3 part series on ‘How Dash is aiming to be the digital cash payment system giant in South America’. In our previous article, Dash: The good, bad and ugly, we explained what Dash is doing in South America and the adoption process in the region, especially Venezuela. This article will gives an insight on the opportunities lying ahead for the want-to-be e-commerce giant, Dash Pay.
After a recent bump in price for the E-commerce giant, Dash (DASH) has dipped below $300 for the first time this week to close the day at $297. This has caused a massive doubt in investors’ confidence in the coin even after a new chief financial officer (CFO) from Morgan Stanley, Glenn Austin was announced last month. It is expected that the coin would not be as strong as it was given the recent bear run in the cryptocurrency market. However, the large drop in price should be a concern to Glenn as more and more keep selling the coin and Litecoin (LTC) gets the nod.
Dash (DASH) has long been taunted as the best e-commerce cryptocurrency, along with Litecoin, as its scalable and fast networks make it easy to purchase your cup of coffee at the nearest coffee shop without much fuss or cost. This presents one of the best opportunities for DASH to grow past other cryptos with ease. In this article we will try establish the key areas DASH, as a private currency needs to push adoption and demand in the South American continent.
Dash in South America
The recent partnerships between Dash, Uphold Inc. and Payza will serve as a warning to all other payment systems that Dash is to stay here in South America. Payza is one of the largest payment system in South America and accepts over 25 currencies for payments. This has allowed massive adoption of Dash in Venezuela where the official Venezuelan Bolivar is regarded almost useless due to hyperinflation in the country. Dash gained massive popularity in the country as people preferred using it to pay rather than bundles of cash of Venezuelan Bolivar.
However, a recent directive by the Venezuelan government to introduce a new nationwide cryptocurrency, Petro will affect the adoption process of Dash in the country. Dash have a strong market hold on the countries in South America, a record only bettered by Bitcoin but it is high time to move to another market region.
The Petro, short for petromoneda, was introduced in December 2017 by the Venezuelan government in a bid to tackle the increasing hyperinflation on the country’s Bolivar. The token is backed by the country’s rich oil, gas and diamond reserves according to their official website. Venezuela depends solely on these, making Petro really powerful and heavily backed. This is easily shown in the people’s confidence in Petro as the first day of sale of PTR raised over $735 million.
However, as Petro continues to gain massive adoption in the country, Dash is facing problems as Venezuelans replace it for PTR. However, there is a big loophole for Dash to make amends to their selling market in South America.
Opportunities for Dash in S. America
In the previous article, DASH: The good, bad and ugly, we looked at how Venezuelans suffer from over-relying on their oil exports. We explained how exactly Dash (DASH) took this opportunity and ran off with it. However in the past few months adoption in the country has reduced significantly as more citizens of South America turn to Bitcoin and Petro for Venezuelans.
In Venezuela, Petro’s price is determined by the government through the energy department, which determines the price of fuel and petroleum. If you have been in the cryptocurrency field for long enough, you’ve already seen a problem in the government controlling the price. First, it makes the coin worthless in use. Second, why have a regulated cryptocurrency?
In our next article, we explain how exactly Dash can make its stride to surpass the $500 mark using the failures of Petro as a stepping stone to greatness in the region. Stay tuned!