The developers of the Salvadoran bitcoin wallet Chivo have disabled the ability to view the price during the transaction. Some citizens have used this feature to make a profit.
That forces us to limit the visibility of the frozen rate while we move to instant (and no longer frozen) convertibility.
Thus, they can make the trades they want, but with the real rate updated instantly.
– goat (@chivowallet) October 18, 2021
To carry out exchange operations, the application freezes the bitcoin price for one minute. During this time, users can compare the rate with quotes on trading platforms and take advantage of arbitrage opportunities.
If the price rises on third-party platforms, they buy the asset in Chivo, taking advantage of the fact that it does not change. When the exchange rate falls, they sell at the rate fixed by the application.
According to the developers, this creates a “source of infinite income”, the only limitation of which is the number of transactions.
Operator Chivo has also decided to abandon price fixing and move to “instant conversion”. After making changes, the application will start showing the price again, but in real time.
“The seller of a product or service is always guaranteed the final purchase price. We will soon turn on the display of the bitcoin rate for those who want to engage in trading and even scalping, but it will be in real time and not frozen. The way it should be “, – the developers specified.
Earlier, President Nayib Bukele said that citizens are depositing much more US dollars into Chivo than they are withdrawing.
The law on recognizing bitcoin as a legal tender came into force on September 7, in the first week after that, the crypto wallet encountered technical problems, Bukele previously admitted.
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