Venezuela hopes to get out of the crisis thanks to its crypto-currency national

Venezuela is in the midst of economic crisis. And this last one has lasted for far too long. However, the authorities have just had an idea : they want to support their future digital currency, accepting it in particular as a mode of payment for taxes. Which, according to the minister of the Economy, would finally out of a terrible economic crisis.

Out of the economic crisis at all costs

The president of Venezuela Nicolás Maduro has taken the decision to create Petro, a digital currency venezuelan. Among the 100 million of Petros, 38 million of which will be offered to institutional investors. The sale will begin on 15 February next, and should, according to the government, give rise to 1.3 billion dollars. The next phase, this will provide 44 million of Petros to the population, for a total of 2.4 billion dollars. The remaining $ 18 million of Petros, will be distributed to the government and advisors.

But what is it that the Petro ?

It is a digital currency whose value is guaranteed minimum is 5.3 billion barrels of crude oil. Of course, the corners may not be exchanged for oil. But they are convertible into fiat currency. And it is precisely all the interest ! Because the Petro could help Venezuela to deal with the shortage of dollars. In fact, the venezuelan currency has lost 40 0% of its value against the dollar last year.

Pixabya – XResh

In addition, the country has to deal with the blockade the financial of the United States because of a default in payment. It is therefore logical to see that the people of Venezuela are turning to the crypto-currency. Moreover, there is an increasing incredible demand for Bitcoin, the citizens turning away of the national currency.

An idea that has been controversial

If the president Nicolás Maduro appears to believe that the crypto-currency, the Petro is the perfect solution, the opposition is less secure. Thus, some members of Congress are totally against, like Jorge Milan, a member of parliament of venezuela, who said : “It is not a crypto-currency. It is a forward sale of oil of venezuela. This has been thought to facilitate corruption “

There is no question, however, for the time being to abandon the Petro. Well, on the contrary, even as the president tries to convince Qatar to invest, and has proposed the establishment of a structure to oversee its digital currency. The future will tell us if the politician has seen just…

Source : BloomBerg News