Maduro: Venezuela must be a crypto-nation
Crypto

Maduro: Venezuela must be a crypto-nation

By Marco Cavicchioli - 8 Nov 2019

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The President of Venezuela Nicolas Maduro has explicitly stated that the country must be transformed into a crypto-nation

On Wednesday, he spoke live on television from the headquarters of Sunacrip, the National Superintendency for Cryptocurrencies, at the Central Bank of Venezuela (BCV), precisely to inaugurate the new headquarters of Petro

Maduro said that everyone should participate in the digital economy, stating that there are already 3 million people who have responded to his call to invest their savings in the Venezuelan state cryptocurrency

In addition, he said that Petro tokens would already be usable anywhere in the country, and around the world, to make payments for purchases, hotels, airline tickets and anything else, using the corresponding wallet for smartphones. 

There would already be 200 points of sale ready to use the PetroPago system, and 27,000 Bank of Venezuela branches ready to change Bolivars to Petro. 

He also said that Venezuela is building a “crypto-economy” and is taking a giant step forward, as it is the first country in the world to have its own state cryptocurrency, based on blockchain. 

During these days the Venezuelan President is engaged in a real promotional campaign for the use of Petro in Venezuela, to the point that this was not the only television appearance in which he spoke of the state cryptocurrency. 

Indeed, he also appeared to promote the Petro Shop and also to promote the use of hardware wallets like that of Trezor. 

It seems obvious that Maduro is trying to convince Venezuelan citizens to use Petro tokens instead of the hyperinflationary Bolivars, although there are it might be the case that the same fate will sooner or later also affect the new state cryptocurrency. 

In fact, there is no way to verify with certainty how many Petro tokens were created at the beginning and whether they were also created later. In addition, there is no guarantee that the President or the Central Bank will not issue more tokens. 

In other words, it is not certain that the perverse mechanisms that led to Bolivar’s uncontrolled hyperinflation will not end up generating similar problems to Petro. 

 

Marco Cavicchioli
Marco Cavicchioli

Class 1975, Marco teaches web-technologies and is an online writer specializing in cryptocurrencies. He founded ilBitcoin.news, and his YouTube channel has more than 11 thousand subscribers.

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