TL;DR – Folks right here principally use digital funds, however that does not defend the native foreign money in opposition to debasement at any time when America activates cash printers or slaps Russia with sanctions.
I have been in Kazakhstan for a couple of month now. In case you examine the timeline of the alternate price fluctuation of the Kazakh Tenge (KZT) to the USD, then you definately see a pattern: when sanctions hit Russia -Kazakhstan’s largest buying and selling partner- each the rouble and the KZT (in addition to another central Asian / former USSR currencies) dropped in worth in opposition to the greenback.
Talking to some individuals right here who’ve household residing overseas, if a good friend or member of the family sends a global remittance to Kazakhstan, they’d moderately let the cash sit of their checking account in USD versus KZT as a result of there’s no less than some volatility.
For the primary month, I attempted utilizing my American debit card to withdraw cash from ATMs domestically and use it to pay for the whole lot I would like in every single place. I have been in Asia for five years and by no means had any issues with utilizing money earlier than, however it appears while you pay in money at some locations, there’s problem in getting you the precise change that you’re due. For some perspective, it’s best to attempt testing this wikipedia web page on KZT notes and cash. Think about attempting to have sufficient of those for 10 individuals at a money register at a small enterprise. It is not sufficient.
Finally, I ended up promoting some crypto and holding it in a neighborhood Kaspi checking account, and simply utilizing the Kaspi app to pay for the whole lot. However this does not remedy the problem of foreign money debasement.
I have never been to the countryside of Kazakhstan but, so I can not say how issues work there. I reside in Almaty, one of many commerce capitals of KZ, and I’ve discovered spots within the metropolis the place I’ve 4bars of web reception, however I can not ship or obtain knowledge. I think about If one thing prices, for instance, 479 Tenge in a metropolis with working web, individuals would simply kick the worth as much as 480 to make it extra handy to pay for in a spot with out web.
I keep in mind listening to about initiatives the place individuals use minted bodily notes or cash to characterize an quantity of bitcoin that somebody holds. Does anybody know something about that venture?