Exploring Bitcoin's Potential in Cape Verde's Economy

According to Cointelegraph, a recent investigation in Cape Verde, West Africa, explored the potential of Bitcoin (BTC) as a tool for progress in the island nation's economy. Cape Verde, officially the Republic of Cabo Verde, is an island nation in the central Atlantic Ocean, consisting of 10 main islands and several smaller islets. The country's economy relies heavily on tourism and remittances from Cape Verdeans living abroad.The use of three currencies, the local Escudo, the U.S. dollar, and the Euro, presents multiple issues in the economy. Mastercard and Visa charge transaction fees of over 4% in stores, which are often passed on to customers. Additionally, Western Union and MoneyGram charge customers up to 15% for remittances to send money across borders. The Cape Verde cash economy also faces high ATM and bank access fees, as well as strict opening and closing hours.Inflation in Cape Verde is higher than in the eurozone, even though the escudo is pegged to the euro. The islands' incumbent financial systems hinder Cape Verdeans from spending, saving, and sending money as easily as in Western economies. During the investigation, Renato Evarchi, one of the first business owners in Cape Verde to accept Bitcoin, discussed the economic situation and how more Cape Verdeans are warming up to a borderless, immutable, and decentralized internet currency.