Cryptocurrencies continue to gain ground as a viable investment option, offering value preservation and innovative growth opportunities. Martín González, CEO and co-founder of the Blockchain Art Gallery in Buenos Aires, Argentinas, recently shared his perspective on cryptocurrencies with Cointelegraph en Español.
In a country like Argentina, affected by a long history of monetary challenges, including chronic inflation and frequent devaluations against foreign currencies, both individuals and companies seek alternatives to protect their wealth.
González emphasized the importance of stablecoins, such as USDC, DAI and USDT, as they offer the advantage of being backed by the US dollar, while providing enhanced transaction capabilities, secure storage and various investment opportunities.
González differentiated the roles of bitcoin and stablecoins. According to Gonzáles, stablecoins are commonly used to save excess income, facilitate transactions, and provide access to cryptocurrency exchanges to buy and sell various digital assets.
On the other hand, pointed out that bitcoin is used mainly as an investment instrument with a focus on the medium and long term, due to its transparent, decentralized nature and its deflationary nature. However, due to its current volatility, it is less preferred as a short-term savings option.
One aspect highlighted by González is the potential of cryptocurrencies to protect against inflation. He highlighted that in the last four years, people who invested in Bitcoin experienced no financial loss, while the Argentine peso accumulated an inflation rate of 400% during the same period.
This underscores the potential for cryptocurrencies to outperform traditional currencies and hedge against inflation, though González cautioned that there are no foolproof strategies and that individual risk tolerance plays an important role.
He recommended starting with authorized local exchanges for initial transactions and taking advantage of free tutorials available on online platforms to gain knowledge and information.
Furthermore, he suggested exploring reputable projects with strong communities and experienced developers, such as Bitcoin and Ethereum. He indicated that those willing to take greater risks by investing in alternative cryptocurrencies (altcoins), should carry out extensive research and due diligence before investing.
Cryptocurrencies offer distinct advantages compared to traditional banking systems or the purchase of foreign currency. Ownership and control of the assets are completely in the hands of the owners, eliminating the need for intermediaries.
In addition, the uninterrupted operation of the cryptocurrency markets guarantees liquidity at all times, eliminating the need for physical banknote storage.
To conclude, he emphasized that cryptocurrencies allow savings in various instruments and take advantage of investment opportunities in both centralized and decentralized platforms (DeFi), without the need for third-party authorization.
The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information presented here should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
Investments in crypto assets are not regulated. They may not be suitable for retail investors and the entire amount invested may be lost. The services or products offered are not directed or accessible to investors in Spain.