The Venezuelan government has officially announced the launch of it cryptocurrency pre-sale Petro (PTR) cryptocurrency. The petro cryptocurrency is an Ethereum based ERC-20 token that was tied to the country’s large oil reserves. The Petro (PTR)cryptocurrency token is worth about $60 with the smallest unit called “Mene”
According to Latin American news source Telesur, a total of 82.4 million Petros will initially be available, out of the 100 million President Nicolás Maduro ordered. The token, was announced l last year as a way to find a way around the US sanctions, the token is set to be accepted as a payment method by the Venezuelan government and can be purchased with hard currencies and other cryptocurrencies.
In an announcement, Maduro was quoted as saying:
“Petro is born and we are going to have a total success for the welfare of Venezuela. … The largest and most important companies and blockchain in the world are with Venezuela, we are going to sign agreements.
The manual of acquisition and commercialization of the Petro will now be available and will begin the pre-sale of this digital currency with 82.4 million units available. The manual is available for download in several languages.”
Here is the clip of the vice president making the official announcement of the Petro cryptocurrency.
El Petro sale a la preventa https://t.co/zmDGsWrpsM
— Vicepresidencia Vzla (@ViceVenezuela) February 20, 2018
Although some factions of the Venezuelan Congress have declared the token to be illegal and unconstitutional” and is seen as a tool to illegally mortgage the Venezuelan oil reserve.
in the US, various senators also denounced the Petro as a way to circumvent the country’s sanctions. At the time, the senators wrote that “it is important that the U.S. Treasury Department is equipped with tools and enforcement mechanisms to fight the use of cryptocurrency to evade U.S. sanctions in general, and in this case in particular.”
Currently, Venezuela is facing one of the deepest economic recessions ever seen. The country’s citizens currently use cryptocurrencies to survive the government’s failures, while Redditors send over funds to support those in need in the country. Recently, a viral photo shows Venezuelan children being fed thanks to Bitcoin Cash (BCH). Some believe the token sale is a way for the government to acquire funds, while misappropriating the tokens.