• In 1889, Puerto Rico suffered a 40% currency devaluation, crippling the Puerto Rican economy.
• This devaluation was caused by the United States setting up the American Colonial Bank and declaring the U.S. dollar as legal tender of Puerto Rico, changing it from the peso.
• In 1899, one peso was only worth 60 cents, meaning the local businesses of Puerto Rico and its citizens lost 40% of their net worths overnight from causes totally outside of their control.
Puerto Rico has a long and tumultuous history when it comes to currency. In 1889, the United States set up the American Colonial Bank and declared the U.S. dollar as legal tender of the country, replacing the peso. This caused a 40% currency devaluation that crippled the Puerto Rican economy.
In 1899, the devastation of the devaluation was felt as the value of the peso had dwindled to a mere 60 cents. This led to the net worth of businesses and citizens being wiped out, with no recourse for those who had lost everything.
In an attempt to preserve what was left of their wealth, many Puerto Ricans were forced to borrow money from the American Colonial Bank with the promise of paying it back with high interest rates. Unfortunately, this plan backfired as the high interest rates made it almost impossible for the locals to pay back their loans, resulting in the bank seizing the assets of those who were unable to pay back their debt.
This event had a lasting impact on the people of Puerto Rico, leading to a lack of trust in the government and financial institutions. Now, however, the world has a decentralized money that can provide Puerto Rico with the independence and identity that it has been starved for and deserves. Bitcoin is a global currency that is not subject to manipulation by any single party, meaning that it cannot be devalued in the same way that the peso was in the past.
Not only can Bitcoin provide Puerto Rico with financial security, but it can also provide the nation with a sense of identity. The Bitcoin logo is similar in shape to the Puerto Rican flag, which represents the strength and resilience of the Puerto Rican people. By using Bitcoin, Puerto Ricans can show the world that they are no longer dependent on the dollar and that they can create their own unique identity.
Ultimately, Bitcoin can provide Puerto Rico with the independence and identity that it was denied in the past. Not only can it provide financial security, but it can also give the people of Puerto Rico a sense of pride in their nation. With Bitcoin, Puerto Ricans can have their own currency and take back their financial sovereignty.