Wednesday, September 18, 2019

Petro, The First National Cryptocurrency, To Salvage The Economy of Venezuela

Venezuela becomes the first country to launch a national cryptocurrency as it works towards salvaging its economy from the impact of sanctions and hyperinflation. The cryptocurrency named Petro is tagged to be backed by petroleum reserve of Venezuela. The cryptocurrency is a project innovated by the president of the country, Nicolás Maduro, as he announced on the 14th of August that the crypto would be in use as from 20th August.

The Venezuelan Petro, An Economic salvaging Cryptocurrency

Nicolás Maduro, the president of Venezuela, announced on the 14th of August of that the country will start using its cryptocurrency by the 20th of August. The cryptocurrency named Petro is the first national cryptocurrency in the world, an innovation adopted by the country to get is saved from the biting effect of hyperinflation and economic sanctions of the United States of America.

As noted of recent that by Robert Kiyosaki while he tagged cryptocurrency as the people’s money and foresee the crashing of US dollar, which is always controlled by the U.S. government against other currencies, a similar of his illustration has led to Venezuela, resulting to the Petro cryptocurrency. The present template of trade war makes the world economy volatile to economic crash as already predicted by Warren Buffet and Robert Kiyosaki. An alternative route to escape the economic crash would be resulting to cryptocurrency as Robert Kiyosaki opined.

The national currency of Venezuela has lost its value dues to inflation and economic sanctions. The coffee sold for 450 Bolivar before which is the national money, now costs one million bolivares and one million bolivar is the equivalent of 30 American cents. The United States also sanctioned Turkey recently that led to a drastic loss of value of the Turkish lira.

Related Article:  Nicholas Maduro's Access To $1.2 billion in Venezuelan Gold Reserves Blocked

As the country battles economic sanctions and hyperinflation the national currency will be pegged against the Petro cryptocurrency for stabilization. An ICO of the cryptocurrency was held in February which the presale raised $2.3 billion worth of Petro, and the public offer raised $2.7 billion.

The cryptocurrency will be available for exchange into other major fiat currencies except for USD, and it can be changed to other cryptocurrencies. The central bank of Venezuela according to the president will be responsible for controlling the value against the barrel of oil. And the cryptocurrency will serve as means of exchange and trading between the country and its trading partners.

Even though the United States is against the cryptocurrency and the opposition in the country, it might just be the best solution to the situation of the country amidst substantial external debt. However, it remains good news for the cryptocurrency community.

More Articles

Prominent Economist Urges Governments Around The World to “Leave...

Governments and central banks around the world have been urged by Jeffrey Tucker who is a foremost economist and editorial director of the American...

After Cryptocurrency Wallet Launched, Samsung S10 Reportedly Gets Hacked

Samsung Galaxy S10 was launched in February this year, and the community was excited that it comes with a cryptocurrency wallet. However,...

Apple Stock Plunges, Losing As Much As The Bitcoin...

Apple’s stocks have seen a great loss of about $65 billion in a day, which is almost an equivalent of the Bitcoin market cap....

BitMEX CEO: Cryptocurrencies to Dictate Stocks and Other Trades

CEO of notable cryptocurrency exchange, BitMEX, Arthur Hayes, has shared his views on the future of blockchain technology and crypto assets and in a...

Will Quantum Computers Crack Bitcoin and Other Cryptocurrencies?

It has on numerous occasions been stated that quantum computing will put an end to all cryptocurrencies. These rumors have been fueled by the...

Dark Web Drug Dealer Sentenced To 20 Years Imprisonment,...

A dark web drug dealer, Gal Vallerius, known as Oxymonster in the criminal circle will serve the jail term of 20 years and has...

U.S. Financial Regulator Makes Cryptocurrency its Top Priority for...

The Office of Compliance Inspections and Examinations (OCIE) of the U.S. Securities and Exchange Commission (SEC) recently released a report, where they state that the...

Tired Of Trading? Huobi Exchange Launches A Social Network...

Cryptocurrencies sometimes can be tiring, and more when you spend the day trading for profits and just lose money in the process. Guys from...

TokenPay Partners with Litecoin to Buy 9.9% of WEG...

TokenPay has partnered with Litecoin to acquire 9.9% of a German Bank, WEG Bank AG. The full purchase will be possible after buying the...

Bitcoin Scammers Create Panic In Sending Fake Disconnection Notices

Another recent event of scamming incident happened in the state of Hawaii after the bitcoin scammers sent several fake electric disconnection notices to the...

Daily Bitcoin Transactions Surges By 34 Percent In 2018,...

The number of daily Bitcoin transactions surges by 34 percent, surpassing the high recorded in January 2018. The increase in transaction record is taking...

Survey: 60% of South Africans Are Not Aware of...

A recent survey has revealed that about 60% of South Africans are not aware of Bitcoin (BTC) and other digital currencies. The survey, tagged...

Latest Articles

HMRC demands info on traders from crypto exchanges in...

Sygnum Becomes World’s First Licenced and Regulated Digital Asset...

Swiss-based Sygnum, a digital asset investment and solutions provider, has become one of the world's first licensed and regulated digital asset banks after receiving...

The Easiest Way to Pass Your Microsoft MCSA MD-100:...

If you try to think of things that don't use Information Technology in one way or another, it would be a very tough task....

Are Worries Over AI’s Effect on the Financial Jobs...

A recent study by Fountech has revealed that two-thirds of adults living in the UK are concerned that the Artificial Intelligence industry will leave...

Will Cryptocurrency Gambling Kill Land-Based Casinos?

It’s hard to deny that the internet has radically changed the gambling landscape. Sure, the common perception of gambling may still involve the glitz...

Why Some Financial Bubbles Are Necessary Economic Disasters

The history of the worldwide economy is punctuated by financial bubbles. They happen more often than we think.  Fortunly’s infographic below provides a comprehensive...

Microsoft 70-411 Exam: Everything You Need to Know

We can’t deny the fact that the world is moving towards the future faster than ever before. Not a day goes by that we...

Why US-based people can’t bet with bitcoins at online...

Online gambling using bitcoin has been happening since the time when cryptocurrency came into being. In the initial days, gamblers used to opt for...

Couple Pays For Breakfast Using Bitcoin, Community Finds This...

A Reddit user by the username u/portageco recently made a post in bitcoin's official subreddit. In his post, u/portageco boasts about how he paid...

Australian Woman Leads Adoption, Tours 10 Countries Spending Cryptocurrencies

Who says you can't go around the world spending cryptocurrencies? As many believe, cryptocurrencies are only good for speculations. But with a little research,...

Did A Physical Bitcoin Just Sell For $99k On...

As at the time of reporting, the listing on eBay had closed. This could be because the seller got a buyer or he decided...

Litecoin Now Approved In 30,000+ Stores

As cryptocurrencies gain ground, more and more technology-based firms find ways to incorporate the nascent technology into everyday life. Moon, prior to this time,...