Greece Vote No To Bailout – Breaking News

With about 1/3 of the votes counted it looks like the Greeks have voted No to austerity terms put to Greece by the EU.

The Greek people have, in effect, called Germany’s bluff and rejected the scare stories pushed by the EU “Political Elite”.

The Greek Government now have a mandate to enter into some hard-nosed negotiations with the EU which will ultimately lead to more generous terms or Grexit.

The impact on Bitcoin is already clear, currently trading up at 264 and, despite claims to the contrary by some in the industry, at least 2 leading exchanges have confirmed an increase in business from Greeks.

BTCGreece has indicated that the number of people purchasing bitcoin has risen by 400% since the crisis began. We have also spoken to Gavin Smith, founder of First Global Credit who has confirmed deposits sourced from Greece in recent weeks which are being channeled into investment positions outside of the EU.

“We are seeing a number of Greeks who are fortunate and have some of their wealth in Bitcoins take that capital and invest it in overseas markets. In particular they like the fact that their collateral value remains in bitcoin so they benefit from both the bitcoin value (up 17% over the last few weeks) and the value of their investments”

The ball is now firmly in the court of the other EU members to decide if they will negotiate more lenient terms or drive a hard line. While all the rhetoric in recent days has been that they will drive a hard line – this is unlikely to be so cut and dried.

The Euro was launched with the premise that the move was “irrevocable”. That countries, once in the EUR could never leave. If that statement is shown to be false then the remaining states will be looked at in a new light. We could easily see instability in Spain and Italy start to resurface with their stock and bond markets starting to come under increased pressure. Greece leaving, as a single event, is not globally significant – Italy or Spain, that may be a bigger question.

Perhaps Spanish and Italian citizens should take heed from Greece and move some of their cash into bitcoin before their banks are closed and they are limited to 60 Euro’s / day to live on.

About Sean Williams 109 Articles
I'm markets editor and journalist for DFN. I've been involved with crypto for over 4 years and am an enthusiastic advocate. At DFN I try and combine my knowledge of markets with my knowledge of crypto to give a good overview of changes in the financial aspects of cryptocurrencies.

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