Record Sales for Xiaomi Smartphones Could Benefit Bitcoin Users

On July 10, 2016, Chinese smartphone manufacturer, Xiaomi, announced that their cheap line of phones, known as Redmi, had sold over 110 million units in just 3 years. This news could have implications for bitcoin, as cheaper smartphones could directly result in higher trading volume in the country.
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The Redmi and Redmi Note, less than half the price of other Xiaomi phones like the $300 USD Mi5, have been central to Xiaomi’s success in China and its handful of new markets – such as India and Indonesia – over the past few years.
What Is the Significance of Cheaper Phones Like Xiaomi?
Cheaper smartphones mean easier access to bitcoin in an emerging market that has also become a rapidly growing market for the cryptocurrency. Also, cheaper smartphones alleviate a price burden that once restricted the ability of the Chinese to obtain bitcoin.
Although China is quickly becoming a developed economy, a large percentage of its population is still very poor, with more than 82 million people living under the poverty line. Therefore, cheaper phones could dramatically increase bitcoin’s trade volume within the country, further contributing to the currency’s network effect.

This post was published at Bitcoinist on 2016/07/13.