Remaining popular in Argentina, Bitcoin was able to help Uber services to survive in collaboration with Xapo. The Argentine government was struggling with Uber for some time (and was not the only government having problems with Uber). Moreover, local representative in the city of Buenos Aires gave instructions to credit card companies to stop working together with the company’s operations.
As the Argentinian courts stated, Uber does not meet the standards to legally provide transportation services to the public. Together with the credit cards blockade, Uber was left with only few possibilities and resources. At this moment, Xapo took advantage of the situation and offered and alternative to the transportation service company using the cryptocurrency.
Xapo provdes a bitcoin wallet and debit cards for bitcoin payments. It was created by Wences Casares and Federico Murrone and as it operates globally because of the nature of its business, Argentinian government has no tools to block it.
Anni Rautio, head of Xapo’s debit card department told to reporters on this issue:
“A normal Argentinian person cannot go and suddenly open a bank account in Gibraltar. All they have to do is set up their Xapo and receive it at home, and it’s ready to use. This is a very specific situation with a very specific problem and a very specific solution.”
Bitcoin is an easy way for the customers how to keep accounts with, free from most restrictions. Now through Xapo, Uber is able to transact with bitcoin on the Visa network and bypass senseless Argentinian blockade of its services.
Naturally, local taxi drivers are those ones, who are hurt by Uber the most and local government is trying to support them because of keeping them employed (as in most of the other countries, where the government struggles with Uber). Moreover, after blocking Uber, the Buenos Aires transportation department has even unveiled the BA Tax application, but it seems like too late for saving the attractiveness of standard taxi industry.
According to the recent data, Uber seems to be successful again after the collaboration with Xapo and cryptocurrency payment system, providing almost 18,000 rides over week in Buenos Aires area.
It is not the first time, when Bitcoin has become a fresh new tool for bypassing government sanctions, as we could see in many other countries. It is obvious that even more people globally are becoming aware of its advantages and Xapo knows it, providing them with the credit card possibilities to pay under such circumstances.
For any questions or recommendations, feel free to write us on hello@goforex.eu
