Brazil frost boosts coffee coin cryptocurrency
A coffee coin, the first cryptocurrency in the world backed by coffee stocks.
And it's having a good run, appreciating more than 35% in its first month of negotiations, driven by frosts in Brazil and investor demand.
The cryptocurrency, created by the Minasul cooperative, is adjusted by the varying price of coffee in the physical market.
Luis Henrique Albinati is New Business Director at Minasul:
"Coffee coin combines the best of both worlds: the coffee world, a market that is there and will not end tomorrow, and the crypto world.
The price is also influenced by the demand for coffee coin investors in the so-called secondary market.
"The coffee coin is a stable coin, unlike other cryptocurrencies that do not have a physical reference of their value".
The currency traded above $3.48 at the end of last week, before dropping to around $3.19 this Monday (August 2) .
That amid a decline in physical prices, pressured by quotations on the New York Stock Exchange after frosts became less intense.
