Wednesday, August 21, 2019

Venezuela’s New Crypto-Backed Currency to Start Circulating August 20

The president of Venezuela, Nicolás Maduro, has revealed that a new crypto-backed currency will start circulating in the country by August 20, according to a recent report by local news outlet Telesur.

Petro (PTR) is an oil-backed national cryptocurrency which was initiated by the Venezuelan government in February, and since then, it has been used for several projects nationwide. The new national currency, the Bolívar Soberano (Sovereign Bolivar), will reportedly have five zeros less than Bolivar Fuerte (VEF), the current currency accepted in the country. Bolívar Soberano will be anchored by petro, the national digital currency. President Maduro stated that:

“The economic reconversion will start on August 20 definitively with the circulation and issuance of the new Sovereign Bolivar, the new monetary cone that is going to have a new method of anchoring the Petro.”

The president noted that the measure aims to support the nation’s monetary and financial system “in a radical manner,” adding that the anchoring and reconversion to Petro is a “great hope” for enhancing a “productive, diversified and sustainable economic model.”

While speaking about the country’s cryptocurrency, the president expressed his optimism stating that he expects the Petro to end up being “consolidated technologically and financially” to “permeate all the national and international economic activity.” President Maduro further explained that:

“I ask for your confidence, I ask for your support, beyond ideologies and political positions, because Venezuela needs this change, the mafias are over!,” “We have the correct vision of what the economic future in Venezuela should be, above all, we will achieve it.”

However, the idea of reconversion has come under scrutiny by several financial experts. Maxim Ross, a renowned economist, reportedly claimed that the measure “does not solve anything” in March 2018.

Related Article:  Petro Pre-Sale Successful; Raises $735 Million In A Day

Also, another economist, Angel Alvarado, made critical comments on the move made by the Venezuelan government, Alvarado, who is also an opposition legislator told CNBC that: “taking zeroes off the money doesn’t fix a thing,” and it doesn’t appear as a way of combating inflation in the economy.

Petro; The Way Out of Inflation?

In a country with high inflation rate due to the rapid decline in the value of the Venezuelan Bolivar, citizens of the country have been pushed to start buying virtual currencies to store to store their wealth. This forced the government to introduce its backed cryptocurrency, Petro (PTR), as a way of adopting the innovation. The president said:

“The oil-dependent model has come to an end, and it will not return, Venezuela needs to continue making great efforts to build a new economic model, diversified, productive, relevant, advanced.”

Petro has been used for funding various government projects since its launching. Recently, the government of Venezuela announced its intention to use Petro for financing the construction of houses for the homeless in the country, news that was positively received by the citizens of the nation.

More Articles

President of Marshall Islands Survives Crypto-Infused No-Confidence Vote

The Marshall Islands already has a tendency of getting its own national cryptocurrency. The president of the Pacific Islands, Hilda Heine has further extended a no-confidence vote that possessed the capability to unhinge her presidential status and that of the Sovereign (SOV), the country’s official cryptocurrency spearheaded by her administration. 

Early Bitcoin Developer Jeff Garzik Guesses Who Invented Bitcoin

One of the very first to delve into the Blockchain and cryptocurrency world as part of the initial developers, Jeff Garzik, has given a...

Opera Launches Option to Buy Cryptocurrencies with Mobile Browser...

Opera Ltd., the giant tech company behind the famous opera browser with almost 400 million users, has released a new service in their mobile...

Ripple CTO Discusses Bitcoin, SWIFT, Blockchain, and XRP at...

At the SXSW 2019 Conference in Austin, Texas, which held from 8-17 March, Ripple CTO David Schwartz commented on a wide range...

How to Invest Your Bitcoin Cryptocurrencies

If you own a fraction or a whole Bitcoin, then you can either store it till its value increases, use it to...

UK Bitcoin Exchange, Coinfloor Affected By The Cryptos’ Decline...

The volatility in the crypto market, especially bitcoin is a known occurrence to investors and enthusiasts, but the fluctuation is gradually affecting major players...

Survey: 2% Of Russians Have Invested In Bitcoin

A recent survey by the Russian Public Opinion Research Center (VTsIOM) reveals that onl 2 percent of Russians have invested in Bitcoin...

Bitcoin Surges Past $5200 As Top Cryptocurrencies Market Cap...

Impressive! That's only one way to describe Bitcoin's price performance in the last 24 hours and generally, the month of April. We've...

Calgary Police Service Wants Your Help to Identify Four...

The Calgary Police Service (CPS) Cybercrime Team on March 13 made a publication seeking for the public's assistance to identify four suspects...

Crypto Won The Battle Against Banks Says Former Bank...

Bank institutions are the most important aspect in the financial world of each country. However, as financial technology or fintech and the crypto industry...

PGA America Server Hacked, As Hacker Demands Bitcoin Ransome

PGA America Server got hacked as the PGA America prepares for its 100th PGA Championship on Thursday. The hacker demands Bitcoin by sending Bitcoin...

Ethereum Enjoys High Adoption in Developing Nations

Ethereum Co-founder, Joseph Lubin has revealed that the cryptocurrency is in high demand in most developing nations, especially Chile and The Philippines, where it...

Latest Articles

Why Some Financial Bubbles Are Necessary Economic Disasters

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,...

How To Shop on Amazon with Bitcoin – Step-By-Step...

Wondered how to shop on Amazon with bitcoin? Then here's how you can purchase goods on one of the largest e-commerce websites that ships...

How To Buy Bitcoin On Coinbase – Step-By-Step Guide

Buy Bitcoin on Coinbase instantly in the U.S., UK, Canada, or anywhere you are globally. Coinbase cryptocurrency exchange has enabled its customers buy the...

Grayscale Bitcoin Trust Boosts By 300%, Affects Oil &...

The institutional investment product, Grayscale Bitcoin Trust (GBTC), experienced a growth of more than 300% due to its outstanding performance since February, Forbes reports....

How To Create A Coinbase Account – Step-By-Step Guide

Create a Coinbase account with ease. Use this illustrative guide to create a Coinbase account for buying, selling, and storing cryptocurrencies. And you know...

$9.2 Trillion Transferred Using Bitcoins In 2.5 Years

Against present belief that bitcoin is only used for speculation, James McDowall, a crypto investor and advisor shared a metric about Bitcoin that's been...

Malware Posing as Movie File Manipulates Results and Steals...

A new form of malware posing as movie file was discovered last year and was designed to steal cryptocurrency and inject manipulated results into...