Someone I know in Egypt has a co-worker that was recently arrested for being a “black market” dollar dealer.
Authorities don’t mind if you own dollar accounts in Egyptian banks. But they don’t like you withdrawing them. They want to be able to fractionally reserve them, rehypothecate them, etc.
Unlike Argentina, Nigeria, Lebanon, Turkey, and many other countries, stablecoins are not popular in Egypt for dollar exposure. A common reason cited is they don’t like the intangibility of them. Same for bitcoin. But black market dollars are commonly traded for, albeit with legal risk.
Replies (19)
what do you think is more popular there, dollar stable coins or #Bitcoin?
The book shantaram has a few chapters that gives insight into the intricacies of the black market rupee/dollar exhange in 80’s Mumbai/Bombay
Great book #bookstr
Wild
Good to see you can get access to nostr in Egypt
Thanks for all you do to support freedom, Lyn!
Very interesting. I recently interviewed Mauricio Di Bartolomeo of Ledn, and he brought up another interesting point about "black markets" for dollars. He said that they technically provide the real market rate for dollars, which is maybe another reason the powers that be don't like them. He discusses this in the "Overview of Crisis in Venezuela" section...
Soon this comes to every non-dollar country. Maybe Bitcoin can evade this...
People here also prefer black market dollars than stablecoins or bitcoin. Stablecoins are used by online workers as designer/developer/CM to receive money from other countries.
It sucks that people can't save their little wealth.
And that everything is under their watch.
Too bad that not even the stablecoins have any market.
Here in Venezuela it has the same problem, intangibility is not usually liked. Since in the mind remains the idea of cash as the best way. Although unfortunately the use of dollar accounts in commercial banks is getting some traction again. Because for years it was forbidden to use them.
And here within the crypto market the one that moves more volume is USDt.
Because of its "easy" handling as a unit of account.
They’re only allowed intangible dollars, that’s unfortunate
What are the penalties for being arrested? Bribe or actual trial/jail time? Forgive the ignorance, but are there trials in Egypt?
You never posted the Cairo kitties on Nostr!
They have USD bank accounts in offshore?
That’s actually very well known. In countries that manipulate exchange rates only the (black) market has the actual rates. Case in point - the discrepancy between official and (black) market exchange rates of roubles in the Soviet Union.
Looks like it’ll be jail time. It depends on the amounts in question and other details.
Hi Lyn, love following your work. I wrote my first bitcoin article recently. Keen to hear your thoughts
Orange pilling in developed nations
https://medium.com/@BitcoinBeme/orange-pilling-in-developed-nations-2d2bb8f7e7b5I guess, as it happens in the Magrib, the Levant and generally speaking the "Middle East", gold is still the preferred store of value in Egypt.
i have a friend of a friend there too!
