A New Petro-Asset: This Historic Move Could Send Bitcoins Price To $1 Million Meanwhile, Ethereum, BNB, Terra, XRP, Solana, Cardano, Dogecoin Are Sinking

Mr. Jiménez retreated into his apartment, and then, when he could no longer pay the rent, his mother’s apartment. Ultimately, his ex-wife convinced him to leave Venezuela before the authorities finally decided to arrest him. At the palace, Miraflores, Mr. Jiménez was shown into the biggest ceremonial room, where the entire cabinet was waiting with Mr. Maduro. The president greeted him warmly, directed him to sit in the chair next to him and asked him how things had gone since their meeting at La Roca. Some of the staff at The Social Us worried that Mr. Jiménez’s bullheaded desire to make the Petro happen put them all in danger.

Launched in October 2018, Venezuelan Petro is promoted as the first cryptocurrency fully supported by state and backed by real world assets such as oil. The launch of the currency has often been described as politicized, with Petro receiving an equal measure of both supporters and detractors. Venezuelan Petro was announced in December 2017, followed by its launch as the country’s second official currency in August 2018. While its name draws association with oil, Petro’s backing by it is limited to 50%, with 20% being reserved for gold and iron and 10% for diamonds.

Petro (PTR)

Mr. Jiménez acknowledged the danger, but he talked about the Petro as a Trojan horse that would sneak in the kind of reforms that he and the opposition had been dreaming about for years. For full details on how to buy Petro Cryptocurrency, one can refer the Per Telesur, a user manual that is available in several different languages. Please help update this article to reflect recent events or newly available information. Get to know our online channels and make your requests for attention on the Petro platform with our request form. Device for the collection of fuel in the PDV service stations, where it allows to use the Petros available in the wallet of the Patria Platform, through the biometric authentication of the user.

• In April 2019, he sold his 2007 Toyota Autana and bought a ticket to the United States.
• Petro cryptocurrency was founded by the Government of Venezuela, backed by Venezuela’s mineral, oil and natural gas reserves.
• Any rational investor would probably steer well clear of the 100m Petro made available.
• The value of the entire el Petro issuance of 100 million tokens would be just over $6 billion and the tokens will each be valued at a barrel of Venezuelan crude oil, according to the Venezuelan president.

Just after midnight one Tuesday in early 2018, the vice president of Venezuela commandeered the nation’s TV airwaves. Looking composed despite the hour, in a blue suit and red tie, he announced that the government was about to make history by becoming the first on Earth to sell its own cryptocurrency. Investing in cryptocurrencies and other Initial Coin Offerings (“ICOs”) is highly risky and speculative, and this article is not a recommendation by Investopedia or the writer to invest in cryptocurrencies or other ICOs.

However, there is zero information on the technical parameters of the future blockchain system. Therefore, it all comes down to ‘a special monetary aggregate for international payments’. Since it is planned to issue 100 mln coins with each coin equal to one oil barrel (~$60), its total capitalization will amount to $6 bln.

Is Ripple and XRP the future of finance?

In November 2018, the Venezuelan government has made Petro the only officially approved currency in which the citizens can pay for the issuance of their passports. The Petro platform will be used for the transfer of remittances and payment of salaries. Members of the Petro community will be allegedly allowed to make transfers with the tokens for various transactional purposes.

In https://coinbreakingnews.info/ity, the value of emitted currency is to be ‘secured’ by the liability of Venezuelan government on providing the goods, i.e. the oil, and by its acceptance as the payment to state bodies. In theory, Petro looks more like the currency of the gold-standard period that is technically implemented by virtue of Blockchain technology. Petro has received official recognition from the Venezuelan government. President Maduro has signed a white paper clearly specifying the conditions and dates of the tokensale. Its activity is aimed at both internal and external markets and carried out atALBA and OPEC levels as well. The US administration was urged to impose a full embargo on Venezuelan oil in the near future.

The head of Venezuela’s state-backed petro cryptocurrency has been added to the U.S Immigration and Customs Enforcement’s Most Wanted list. Petro gold was a cryptocurrency announced by the Venezuela government in early 2018. Cryptocurrencies have been criticized as a tool to launder funds because they allow users to bypass currency controls and regulations. The United States, for example, sanctioned several prominent politicians and business leaders in Venezuela for their alleged involvement in the narcotics trade and suppression of the country’s opposition. In July 2018, there was an announcement that Venezuelan government will use Petro tokens to build housing facilities for the homeless people in their country.

If you’d like to go through Petro’s price history, learn about its overall outlook and also ascertain the best price to buy PTR today, you must visit our detailed PTR Price Page. The minimum unit, which is also referred to as mPTR or Mene, is the equivalent of one millionth of the PTR coin. However, considering the low exchange price of this cryptocurrency, it may not be viable to buy small amounts of PTR. Normally, you’ll have to buy a whole PTR, and a good number of them to make it work for trading purposes. For the majority of crypto investors, since brokers are often regulated and follow strict security protocols, it’s the security of the exchange platforms which is a major concern. When shortlisting an exchange or broker website to buy PTR, make sure it takes all possible security measures including the use of additional security protocols like 2FA (Two-Factor Authentication).

A centralized exchange

The Exchange considers that it is cheaper to carry out daily transactions in Petros than in currencies such as the US dollar, and this also indirectly preserves the value of the bolívar currency. With this new record, Petro has thus become a good protective measure to ward off inflation and protect the national currency, bolívar, and may have a positive impact on the economy of ordinary Venezuelans. The state-backed Petro cryptocurrency that launched in 2017 has mostly failed to gain any meaningful traction. After the call, Mr. Jiménez emailed his employees to be at the office for an early meeting. When everyone had gathered, he stood on a desk and said they should drop all other projects and focus on the Petro. People were free to leave, he said, but if they did this right, it was a once-in-a-lifetime chance to change Venezuela.

That is how Mr. Jiménez found himself feverishly coding all night under armed guard, and then summoned to the presidential palace early the next day. In his Adidas track suit, he stood on the couch and whacked the unit a few times. For Mr. Jiménez, there was a certain comfort in seeing the lack of luxury, given the privation in the rest of Venezuela. It was nighttime, and a van took them through heavily armed roadblocks to the military base where the president kept his personal home, known as La Roca. An aging Chevy Camaro sat in the courtyard, next to a kid’s trampoline.

Whacking the president’s air-conditioner

The Venezuelan army turns to crypto mining as the country’s economy collapses. According to Venezuela’s attorney general office, government officials were running parallel oil operations with the assistance of the national crypto department. Binance Coin , providing comprehensive access and meeting the needs of many users, since many prefer to exchange their Petro with other crypto assets. According to Venezuelan Cryptocurrency Superintendent Carlos Vargas, Venezuela would pay for imports from Brazil using the Petro cryptocurrency.

• Tether is a stablecoin, a cryptocurrency pegged to and backed by fiat currencies like the U.S. dollar.
• One of the major selling points for Bitcoin and other cryptocurrencies was decentralization; no single entity could control or censor blockchain transactions.
• Once the initial stage is completed, there might be the option of exchanging Petros for bolivars.
• At the same time, some parts of the Whitepaper lack fine details, and some statements are not backed by any sufficient explanation.

When he pushed to get it all done in less than a month, so that no one could second-guess the project, the government agreed. The technology, after all, used a decentralized network to create and move money, and no authority was in charge. But then some members of the government noticed that this cut both ways. Cryptocurrency could also be a way for Venezuela to escape sanctions levied by the United States and international organizations.

Bridging the gap between fiat currency and cryptocurrency, stablecoins aim to achieve stable price valuation using different working mechanisms. Tether is a stablecoin, a cryptocurrency pegged to and backed by fiat currencies like the U.S. dollar. While the Petro is the official government cryptocurrency, many Venezuelans use other cryptocurrencies. According to blockchain and analysis experts Chainalysis, it’s difficult to determine how much the country is using cryptocurrencies due to the bolivar’s devaluation. However, it’s clear through the company’s analysis that website visits to Binance and Binance’s peer-to-peer platform have increased as the bolivar loses value. In May 2018, Russia’s Evrofinance Mosnarbank became the first international financial institution to accept transactions with Petro.

The ICO is obviously a way to raise money by getting around the sanctions against Venezuela, which prevent it from issuing bonds or securities in the regular financial system. It is in desperate need of US dollars, with inflation running into quadruple digits – which has made the Venezuelan bolívar worthless. Meanwhile, the production of oil, on which the country’s economy relies, has plummeted in the past year.

Other than designating it an official “unit of account,” Maduro’s government isn’t yet making use of the petro—or buying the token back from its citizens. This is providing pragmatic traders an opening—the ability to “invest” in the petro, just as they would on any other shitcoin with low volume. They can currently accumulate the token at meager prices in the hopes of making a profit when the government expands petro trading and starts buying tokens. On 21 February 2018, petro gold, a gold-backed cryptocurrency, was announced in a televised speech given by Venezuelan President Nicolás Maduro. It was not clear whether the gold backing the tokens would be actual gold reserves or some kind of share of the country’s untapped mineral wealth.

Upon its launch in October, Petro was available for purchase with fiat currencies which included dollars, yuans, euros, rubles and rupees, with supported cryptocurrencies being Bitcoin and Litecoin. Purchases of Petro can be allegedly made with cash by having the buyer visit the premises of the Venezuelan National Superintendence of Cryptoassets and Related Activities , or by going to the Petro’s official website. As of December 2018, the official wallet on the currency’s website is still unavailable. Like many cryptocurrency investors, you may also be wondering—is buying PTR illegal?

The president’s excitement turned the Petro into a project that everyone wanted to get in on, and in mid-January 2018 a series of meetings at the ministry of finance turned contentious. The department’s top economic adviser wanted the Petro to have a stable value, controlled by the government, with an option to trade it in for actual oil. Mr. Jiménez managed to push back, winning an agreement that oil could be used to create a minimum value the state would promise to honor, but that the price would also be allowed to fluctuate on open markets. He also made sure the Petro would exist on an open network of computers, tied to Ether, that would fundamentally limit the government’s power to interfere. But in all his dealings with the government, he was given the royal treatment. When he said that it would be symbolically important to present the Petro’s white paper — the foundational document on which every cryptocurrency is based — at the central bank, a minister said he would make it happen.

crypto+petro Petro with another cryptocurrencyThe exchanges that offer Petro as a part of trading pairs tend to usually pair it with popular cryptocurrencies like Bitcoin and Ethereum. You must first ascertain if the platform offers you a pair workable for you and then deposit the corresponding amount of cryptocurrency, depending upon how much PTR you’d like to purchase. Based on where you reside, you’ll be presented with multiple modes of payment to buy PTR.