Bitcoin Investor and Economist Doubts Venezuelan President’s Move with Petro

Venezuelan President, Nicolas Maduro had been bullish on the cryptocurrency launched by the state since this development took place. He asked banks to adopt it and later on decided to use petro for international trade.  Recently, he announced that petro’s public sale will be taking place next month.

While Maduro administers optimistic approach for petro and holds perspective for its future, Michael Tozoni, CEO and CFO at TozoniMAGLEV, product manager at Mycelium, bitcoin economist, investor, and entrepreneur, differs with Maduro regarding the future of Petro. He told BlockPublisher his thoughts on the matter as he said:

If it [petro] is pegged to the price of oil, then it’s just centrally controlled by the Venezuelan government, which already proved how well it controls currencies. And if it is a true cryptocurrency without anyone controlling it, then it’s just another altcoin.

Besides public sale of petro, Venezuelan government has linked petro with passport procedures as well. Now, Venezuelan inhabitants are required to pay passport fees in petros. So, anyone not having two petros cannot leave the country. Previously, as Venezuelans didn’t want to face the country’s food and water shortages, they were aiming for heading out of the country. So, president Maduro devised a special police force to deal with the people who were illegally leaving the country. At the moment, units of the special police force are deployed on about 70 exit points to make sure that Venezuelans don’t leave the country without spending 2 petros in the form of passport fees.

At present, according to Maduro, petro is available on six international exchanges. He suggested that it could be bought against bitcoin, ethereum or fiats such as dollars or euros.  Its whitepaper has been uploaded on the government’s website. Besides the passport, oil will also be sold against petro. Petro can also be used to purchase real estate and airline tickets etc.

Maduro is overall bullish on the future of petro and considers it an influential tool for fighting inflation whereas Michael has posed opposition to Maduro’s beliefs with his clarification that suggests that Venezuela is not going anywhere with petro.

Fatir Malik

Electrical engineer by profession, turned into blockchain developer. Fatir contributes regularly with his insights about latest developments in fintech sector. Contact the editor at editor.opinions@blockpublisher.com

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.