There have been several rumors circulating about Venezuela possibly adopting a new cryptocurrency that would be backed by oil. However, the government recently shared that there has been, “false information, going around about a supposed white paper connected to this potentially oil-backed digital currency.
Although the country’s officials have not shared the exact details of the false information, the superintendent of Venezuelan Cryptoassets and Related Activities, a position recently installed to oversee that kind of work, has shared that the government is rejecting the current white paper which supposedly explains how the petro coin will work.
Although the white paper for the petro coin has not yet been released, the Venezuelan President, Nicolas Maduro, apparently plans to release it soon.
A few weeks ago, a Reddit post claimed to be sharing a link to the petro’s white paper. The document itself, not yet confirmed by the Venezuelan government, seems to be located on the government’s official website. However, this document may be an early version of the official document that hasn’t been shared yet.
Amidst years of economic decline, the controversial “petro token” was announced back in December, with the stated purpose of bypassing financial sanctions. Venezuela’s current fiat money, the Bolivar, has experienced intense inflation, bringing it to near nothing in value. Many companies will not accept the Bolivar as a form of payment, due to its lack of value. This has led many of the country’s citizens to invest in cryptocurrency, often using the digital money as a means of survival.
However, the proposal of this new cryptocurrency has drawn lots of skepticism and opposition from many officials in Venezuela’s government, primarily the legislature, which is controlled by political people who are against President Maduro. The country’s Congress has taken the stance that the new digital currency would be illegal.
Despite all this, many Venezuelans are eager to adopt the new currency, and are happily awaiting more information.