Monday, January 22, 2018

The incredible, fungible egg: Venezuelans appear to be adapting eggs as a new currency in lieu of the Petro and Bolivar

In ancient times many things were used as currency, including salt and peppercorns by the Romans and Greeks respectively.  And even today when a people reach the point where they lose faith in a sovereign or national currency, inevitably commerce and trade distill down to where foodstuffs can become more valuable than even gold or silver.

That scenario may now be happening over Venezuela where the Bolivar is immersed in ever growing hyperinflation, and President Maduro's scheme of creating a resource backed cryptocurrency has gaining little or no traction since its inception.

So with this in mind, there is a growing trend taking place in Venezuela regarding the use of a new currency.  And it is one in which the commodity is retaining its value at the same time the currency implodes.

And that currency is the egg.

Maduro insists on faking some kind of knowledge, and plans that at some point the petro will be a public and circulating currency (to alleviate the very serious problem of cash and the lack of efficiency at retail sales points). 
Meanwhile, people on the street start to protest and assault food trucks that appear on the roads, or raid haciendas and small farms with animal breeding. Others sell their homes or gather what they can to pay for a passage to anywhere. Most of us try to survive based on the egg. 
The egg is the true currency of ordinary Venezuelans. It was a good joke on the social networks when people discovered that one day of minimum wage was not enough to pay for a single egg. But better yet was the man who didn’t have cash to grab a taxi after making a purchase at a food fair. 
Overwhelmed by the weight, he asked a taxi driver how many bolivars he would charge for taking him home. Ten thousand bolivars, in cash of course. Ten thousand bolivars is the maximum allowed by banks to withdraw daily and the gentleman did not have them. So he made a very quick calculation, the egg carton of 30 units cost 300,000 bolivars. Each egg then has a cost of 10,000. He then offered an egg to the taxi driver in exchange for the raid and he, without hesitation, accepted. – Havana Times


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