The cryptocurrency of Venezuela has yet to prove useful
One of the most interesting things that the cryptocurrency market Last year was the creation of the first national named virtual currency Petro. Venezuela has decided to launch this digital heritage in order to avoid international sanctions and also has a broader control over its population. However, since it was launched at the start of this year, the digital asset has not shown any major use cases.
Nicolás Maduro, the president of Venezuela was promote Petro since they announced its creation. However, there is no information on how it works, how to use it or where to buy it.
In order to increase its presence in the market, the virtual currency it is currently used to pay salaries and pensions. At the same time, he proposed to other countries to start using this virtual currency but they did not agree to do so. Of course, it will be very difficult to convince another country to accept this virtual currency.
For example, country offered the currency to Russia, Argentina and Poland. None of them accepted this offer. The main intention behind it is to make the Petro an international virtual currency for oil transactions. At the same time, Venezuela I wanted to buy some goods in Argentina and in Poland using the Petro.
Officials from the three countries, Argentina, Poland and Russia have completely denied that they will use the virtual currency issued by Venezuela.
Another possibility for Venezuela was to buy auto parts using Petro coins, but representatives of Russia did not comment on this problem.
Belarus he also received some proposals to start using Petro. The Belorarubezhstroy Belarussian state-owned company could receive a payment using the Petro for the accommodation services provided.
The financial situation in Venezuela it is tense. We are considering alternative options to repay the existing debt. One of these is using the Petro cryptocurrency, explained the company's deputy director, Alexander Falevich.
The company would have a difficult situation trying to accept virtual currencies for the houses in which it is built Venezuela. Belarus does not recognize cryptocurrencies as legal tender, which could create further problems for the Belarussian company. It could also be possible for Venezuela to pay off its debt with raw materials, something that Belarus could accept.
Another plan to start using virtual currency all over the world is to use it as a unit of account in the Organization of oil exporting countries (OPEC). At the moment, the American Dollar it is the dominant currency in this market. This may not be good for countries like Venezuela that have been sanctioned by the United States and other countries around the world.
At the time of writing, it is not possible for individuals and investors to have access to virtual currency. Users who bought it have received "petro certificates"Rather than the Petro itself. If the virtual currency created by Venezuela has the inherent risk of being issued by a country that has more than 1 million percent inflation, a simple & # 39;petro certificateIt's literally worthless.
The country has also proposed to the nations of the ALBA group to accept this virtual currency to be truly independent of other currencies such as the US dollar. However, it may be very difficult to accept currency from countries like Bolivia where cryptocurrencies are completely banned.
Venezuela it has been one of the worst performing economies in the last five years. The country is also experiencing a humanitarian crisis and inflation rates are reaching new records month after month. Moreover, individuals in the country are embracing other virtual currencies like Bitcoin (BTC) or Dash to process transactions or protect their funds from the government.