How Argentinians are making more money from scrap metal in their Peso coins than official exchange rates

Argentina's inflation has hit 108% leading to steep devaluation of the currency due to hyperinflation

The coins seen in the video embedded in the tweet are 2 Argentine Pesos

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https://preview.redd.it/ebwo1mf85z0b1.png?461&format=png&auto=webp&s=c91a997cb47cd5fc6925acd64b5365673c6fd1fc

https://twitter.com/i/status/1659545956289748993

Each coin consists of about

• 1.2g nickel
• 5.5g copper

And this metal is worth $0.07 after refining

But at the real exchange rate, it comes down to $0.04 as opposed to the depicted $0.08 on official exchanges

The scrap value of the coins have been greater than the face value for the peso since 2018

Eventually this is bound to happen to all fiat currencies with the way the government is making the money printer go brrrr all the time

Crypto allows individuals to hold and transfer their wealth across borders quickly and with lesser fees. In hyperinflationary environments, where local currencies rapidly lose value, citizens can convert their assets into cryptocurrencies, which retain value and be easily transported across the globe as stablecoins of other currencies such as USDT or EURS or BGBP; or using coins such as BTC, ETH, XLM, LTC...etc. This helps the retails protect their net worth from losing its purchasing power due to hyperinflation.

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How close are you to face this situation in your country ?

Edit: A comment by u/Arcosim that adds onto this post:

Quite literally! I follow the Argentinean economy news closely because it fascinates me. I believe Argentina is the most dysfunctional country in the world by a long shot. 110% annual inflation and growing, a black market for dollars called the "dollar blue" where people can buy dollars at twice the official exchange rate but that's still more profitable than not buying these dollars (the government doesn't let people buy dollars otherwise), the highest tax rate in the world at 137.3% (60% of their economy happens to be informal, so the government factors that into the taxes), dozens of different official exchange rates for dollars depending the sector (so that leads to people from a sector, let's say the tourism industry, faking numbers to buy dollars and then resell them in another exchange from another sector to make a profit), the Argentinian central bank raised the interest rates to 97%

All of that without a war or a conflict nearby, and their finance minister, the guy who's basically leading one of the worst performing economies in the world, is going to run for president and he's polling second.

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