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Venezuela to introduce new Cryptocurrency - the Petro

Discussion in 'World Economy' started by Tadhg Gaelach, Dec 4, 2017.

  1. Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    [​IMG]

    Heroes of Anti-Imperialist Resistance


    I think this is a great idea. Unlike the US dollar, which is only backed by debt, the Petro will be back by huge reserves of oil, gold, diamonds and other valuables. Of course, this is a major challenge to the US Empire of Chaos. The last person to try anything like this was Gaddafi, and now Libya has been reduced to an unspeakable hell on earth.


    The Bolivarian Republic's latest attempt to throw off the shackles of dollar hegemony comes amid the rise of bitcoin and escalated U.S.-led sanctions.

    President Nicolas Maduro said on Sunday that Venezuela will launch a digital currency to combat the ongoing attempts by the U.S. and its junior partners to suffocate the Bolivarian Republic through sanctions.

    The digital currency – called the “petro” – will be backed by Venezuelan reserves of gold, oil, gas, and diamonds, he said during the near five-hour show, which included traditional Christmas songs and dancing.

    The president announced that it would allow Venezuela to “advance in issues of monetary sovereignty, to make financial transactions and overcome the financial blockade.”

    "This is going to allow us to move forward to new ways of international financing for the country's economic and social development," said Maduro during his weekly television program broadcast on public media outlets.

    The announcement reveals a novel method through which the Bolivarian Republic hopes to sidestep Canadian, European and U.S- sanctions that have been imposed on tens of top-ranking officials, making it increasingly difficult for Venezuela’s to move money through international banks.

    Goodbye Dollar, Hello 'Petro': Venezuela's Maduro Announces New Digital Currency
     
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  2. OP
    Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    It could be that Venezuela will be the first country to go over entirely to cryptocurrency. That wouldn't be so hard to do. We could buy Venezuelan oil with the Petro, without ever having to touch a US bank.
     
  3. Kershaw

    Kershaw Legend Battle Royale Political Irish

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    I'd buy some petrocoin just to have the first cryptocurrency backed by a government.
     
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  4. jmcc

    jmcc Member Political Irish

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    But how does one buy Petros?
     
  5. OP
    Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    Presumably they will use exchanges the way other cryptos do.
     
  6. OP
    Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    It's a big moment in the history of cryptocurrency.
     
  7. jmcc

    jmcc Member Political Irish

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    And will it be secure and stable?
     
  8. OP
    Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    That's a big question with any Cryptocurrency. Bitcoin has had lots of problems. That said, Georgia (the country) has now put all its land deeds on a blockchain, so the technology has clearly gotten to an advanced stage of security.
     
  9. OP
    Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    We saw how the Che Guevara stamps here in Ireland sold out in a week - unprecedented demand according to An Post. I'm sure the same people will be lining up to buy the Petro - even if they never use it.
     
  10. jmcc

    jmcc Member Political Irish

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    A blockchain isn't quite the same thing as a digital currency.
     
  11. OP
    Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    It's the main piece of technology, as far as I understand it. Anyway, it could be that this is the way things are going to go and fiat currency is going to be relegated to history. Bitcoin is now the number 25 currency in the world in terms of value.
     
  12. Youngdan

    Youngdan Moderator Staff Member Moderator Donator Battle Royale Political Irish

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    As stable as the government. I predict you will not be buying too much of it.
     
  13. jmcc

    jmcc Member Political Irish

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    And how would you destroy a country that had its own cryptocurrency?
     
  14. OP
    Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    I wouldn't say he will either - but lots of other people will be - including myself.
     
  15. OP
    Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    [​IMG]
     
  16. jmcc

    jmcc Member Political Irish

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    The theoretical aspects fascinate me. Let's just say I have a very particular set of skills and remember a lot of the early discussions of digital currencies and their security. :)
     
  17. OP
    Tadhg Gaelach

    Tadhg Gaelach Legend Donator Battle Royale Political Irish

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    I wouldn't be 100% convinced of the security aspect of any Crypto. But who could be convinced of anything to do with the US dollar?
     
  18. jmcc

    jmcc Member Political Irish

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    People who work with cryptography tend to have a very different view to those who do not. So let's assume the Petro takes off. Now how would you take control of it?
     
  19. Youngdan

    Youngdan Moderator Staff Member Moderator Donator Battle Royale Political Irish

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    You
    You could start your own. I believe it is a question of credibility.
     
  20. jmcc

    jmcc Member Political Irish

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    Life's complicated enough. :)