I'm pretty sure most of you know how inflation affects a country and its people, but imagine if it reaches the level of hyperinflation. Take Venezuela for example, which got hit hard by hyperinflation with over 200% yearly inflation, making it one of the countries with the highest rates globally.
Normally, we gamble just for fun, but in a place like that, gambling might actually be a way of survival. The odds of turning a small amount into something bigger could seem more appealing compared to just holding onto their money while its value keeps dropping every day.
In a way, while it goes against the usual belief that gambling isn’t an investment, in countries with hyperinflation, it might look like a potential hedge against losing purchasing power.
So I’m curious, do we have anyone here from such countries, like Venezuela or Argentina? How do you see this possibility? Would you consider gambling an escape from inflation, or does it only make the situation worse in the long run?
I'm not from these countries, but as a Brazilian I have an good idea of how disadvantaged this population is, as I work with some Venezuelans on my city who left their country to search of a better life.
But, regarding this "alternative", I would say its NOT a good choice... the statistics of gambling tell us that even in the short term, the chances of losing are greater than those of winning, and in the long term, the scenario isn't much more optimistic either.
So, I think this would be an "illusory escape," in which a person would have a false sense of control or opportunity but would actually be giving themselves much more chances to chance, and worse... running the risk of becoming addicted and further exacerbating poverty.
I believe that a simple conversion of local currency to stable in dollars is enough to escape inflation, and then finding exchanges that accept cryptocurrencies... something that has been common in these countries.