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A lesson to learn, why is better to store money in Bitcoin Cash

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Written by   792
1 month ago

In 2016, here in Mozambique, one of the banks that operated in the square had to close its doors, an order that was decreed by the country's central institution, the Bank of Mozambique.

The reason for the closure of the financial institution that held the largest number of national shareholders was the fact that the Bank in question had several structural and payment liquidity problems for customers who had their value saved in the institution. It should be noted that the bank referred to, until 2015 was the largest deposit taker nationwide, but it had irregularities and ran the risk of insolvency.

But how does a bank get to have these problems

The 'Novo Banco' as it was called at the time was a mostly Mozambican capital bank, its national shareholders held almost the totality and control of the bank and among the partners there were also members of the ruling party. The bank had the 'reputation' of granting large loans to the 'comrades' in power, as they control the country and were not required to guarantee the loans made.

The 'comrades' in power had almost a free pass to make big loans (under the hood, of course) and they took as long as they wanted to return the amount. In compensation, the bank was awarded concessions that other financial institutions were not entitled to (corruption). It was simply a bank to manage the problems of the ruling party and with that they were guaranteed immunity.

But that all changed until the bank began to show signs of insolvency, Well look:

  • The bank had limited capital and as every bank works with money from customers, it no longer covered it to close gaps opened by arbitrarily granted loans

  • More money came out of the bank than came in and the bank began to show signs and attract the attention of the Central Bank

  • The Central Bank, which until then, had not heard about problems (and I honestly don't know how) sent an audit to an independent company which, less than 1 year later, discovered serious structural problems in the financial institution and with that the bank decreed the bank's closure and exhaustive research on all of the institution's managers.

Investigation was not enough, it needed to show action

The auditing company delivered its report and the central bank proceeded together with the national prosecutor's office to arrest all those involved in the Bank's scheme. But, the biggest losers with all this mess, the customers, were left without access to their money due to the bank's insolvency and only in 2018 after the merger of the 'novo banco' with another bank they begin to withdraw their money out from the Bank.

They had 'obligatorily' been waiting for two years to receive the money and even when they started to receive it, they could not withdraw larger amounts because the central bank and the bank that agreed to pay the debt of the 'novo banco' had agreed to do so, and as an agency regulator the central bank had the right to intervene so that the bank would honor its commitment.

What To Learn From This Story

Although there are legal methods to open a bank and be able to serve clients with their services, there are institutions that simply do so as a way of 'putting money in their pockets' and as they were directly connected with the ruling party and a lot of these loan debts it was for people 'high' in power, in the end who get harmed was always the common citizen.

Measures were taken and the dishonest managers were arrested but the citizen remained penniless for the next few years due to the state bureaucracy.

That's why it's always good to use Bitcoin Cash

Nobody likes to be without their money and when that happens several doubts go through their minds such as: 'I will recover my money and recover how long it will take' as well as other thoughts go through the head.

Using Bitcoin Cash to store, move or even spend it is the best way to stay protected, let's see:

  • Bitcoin Cash never lets us down, it can be stored in a wallet controlled by the user and completely without maintenance fees and when you need to use it, it only costs cents of the dollar to do so.

  • Bitcoin Cash can be used anywhere in the world 365 days a year 24 hours a day

  • It is not issued by the state and does not need your intervention to make payments or even spend at a home of convenience

  • Bitcoin Cash is digital money that is most accepted by merchants worldwide

  • Using Bitcoin Cash the individual is their own bank

Final considerations

The story I quoted above may seem fictitious but it is not, the bank dubbed 'novo banco' actually existed and was closed in 2016 due to major irregularities and insolvency, leaving its customers without access to their money for a long 2 years.

The saddest thing is that, whoever pays for errors and problems with financial institutions or others, it is always the common people who are the customers, the companies that have insurance end up calling them and everything is solved, but what about the people! !

These are left to their fate until the whole situation is resolved, and imagine how many families have been deprived of life savings because of the bank.

This is where Bitcoin Cash plays a very important role in protecting the individual from trouble like this. Bitcoin Cash owners never face this problem and not to mention that because it's anti-inflation it even more serves the purposes of the common man, and the ability to be used anywhere in the world and at any time in an unprecedented addition.

Anyone who has their money in Bitcoin Cash can be sure of one thing:

'Only you are responsible for your finances and no one can get in the way of it, the best thing is to always have your money in Bitcoin Cash for storage, make payments or even to replace'.

Use and abuse (in a good way of course) Bitcoin Cash 😎.

_______________________

Disclaimer: The story mentioned in the article is true but does not constitute financial advice, it is for education and entertainment purposes only.

_____________________

Don't forget to check my sponsors.cash campaign to Help fund my house using Bitcoin Cash.

Follow updates about the building on noise.cash to see the photos😉

_____________________

Find me on noise.cash

alberdioni8406

...'read five of my latest articles about BCH and more:

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Written by   792
1 month ago
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Comments

Hopefully, more establishments will also open their stores to accept BCH as payment. Reasons why we cannot take away from FIAT ccy is because it's difficult to find stores that accepts BCH for payment. The more establishments accepting BCH, the more consumers will be encouraged to store BCH rather that FIAT.

$ 0.00
1 month ago

It's important to also find people in our location that are willing to accept Bitcoin Cash, doing that we also contribute to more large chain of merchants accepting the currency

$ 0.00
1 month ago

you're right indeed.

$ 0.00
1 month ago

Exactly sir. I am very happy with BCH because One of the Features i like the most is that BCH can never go down. If we save it in any wallet We can never be in loss.

$ 0.00
1 month ago

hi sir. i am always thankful for every article of yours. you never fail to let us comprehend how BCH works for us. Thank you so much for everyday. That's why I do love BCH as I am gradually getting knowledgr about it.

$ 0.01
1 month ago

Thanks always for being here mate your feedback is really amazing

$ 0.00
1 month ago

Oh thanks for appreciating 😊

$ 0.00
1 month ago

Hi buddy.

Unfortunately, money tends to corrupt the people who run the institutions that are supposedly designed to serve the community, be they public or private.

In this sense, bitcoin cash has the potential to minimize others taking advantage of you. Of course, it all depends on the degree of honesty you have. Although come to think of it, you are honest or not.

Also, I believe in the ability of man to redeem himself and be better every day. An option that God himself gives us.

Happy day my friend.

$ 0.01
1 month ago

Exactly my friend people who suppose to secure people money in the bank most of the times end up being the ones responsible to steal it from people, using BCH that minimize.

$ 0.00
1 month ago

Thank you for enlightening us on the way forward with crypto indeed banks aren't reliable, much more easy with bitcoincash....you own what is yours and can get it out without seeking permission. For now all my savings are in crypto

$ 0.00
1 month ago

Good move from you, banks aren't reliable and the better storage now is crypto

$ 0.03
1 month ago

Not familiar with Novo Banco but I am much familiar with Bitcoin Cash and I do found such convenience using it.

$ 0.01
1 month ago

Novo Banco was a local bank In my country and made me realize that crypto is the best option to store money

$ 0.00
1 month ago

Oh I see, thanks for letting me know sir

$ 0.00
1 month ago

My pleasure 😎

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1 month ago

Too bad the Novo bank was controlled by the ruling parties. such hypocrisy! I mean if a normal citizen wants to borrow money to start his business, they will ask for as many collaterals as possible, and even frustrate the customer with their demands. Yet, they allow the ruling folks take huge sum of money with no collaterals.

This isn't their money but the people who trusted them by saving money in their banks.

Well, it's goes to show how much value BCH is in terms of overruling who is in control of our funds, and who determines what happens to it.

We do not have to wait for 2years to gain access to our money just because a particular bank has run into insolvency

$ 0.01
1 month ago

At the time that topic flooded the media and showed us how many hypocrite this folks are so since 2018 am not holding my money with them all my savings are in BCH

$ 0.00
1 month ago

Lol....

It's a wonderful initiative to hold money in crypto coins instead of the traditional banks due to unforseen circumstances like this one you told us about

$ 0.00
1 month ago