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How does the future of crypto looks like in Afghanistan right now?

3 min reading


Afghanistan is going through terrible times right now with the US troops leaving and Taliban seizing control over them. Everything is in unimaginable condition especially financially, after the US troops left there was an increase in the usage of cryptocurrency and some Afghans chose to transfer their savings into digital asset. Which they thought might be more safe than local currency and banks. 

Afghanistan was ranked 20th in the Global Cryptocurrency Adoption Index 2021, by blockchain data firm Chainalysis for the sudden increase in crypto usage during the last few months. It seems like if Afghanistan continues to detached from the international finance the Taliban could turn to crypto says Richard Goldberg the former National security council official. The anonymity that crypto brings can attract the Taliban’s to crypto. Afghanistan with at least 7 million expatriates resettled in abroad hugely depends on financial help from family and close kins residing in other countries. 

During the time of an issue related to even informal money services called hawalas and money exchange houses, locally-operated Bitcoin exchanges kept running. The locals in Afghanistan are expecting crypto to save the Afghanis from the present economic distress. According to 22-year-old Afghani boy Farhan Hotak crypto is like a shield against inflation and probably a medium which could lead to a better life. The crypto community in Afghan are using crypto secretly by hiding their IP address using a virtual private network so they could mask their geographical location. It is still unclear what future holds for crypto in Afghanistan in the middle of this injustice.

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