Venezuela’s government insists: Petro has a higher value than the dealers will be adopted.
More and more States are struggling to launch their own crypto-currencies. Against this Background, and given the economy of Venezuela is trying to meet the expectations of the Petro-Coin.
Already in the year 2018, Venezuela launched the currency Petro as a reaction to the massively rising Inflation and economic difficulties in the country. However, the model is struggling with many Worries.
Venezuela’s government is insisting, however, that the Token is traded at 80 USD, while he is to be found on the open market at a price of 8 USD. Re-integration attempts of the government took with a view to the country’s economy failed so far. To do this, the attempt to define the Token as the only possible payment option with the purchase of passports or the payment of Vacation pay in the public was for example. There is even a from the state, introduced its own Wallet in the Form of the so-called PetroApp.
The price differences could ensure that citizens have good reason for dissatisfaction. Because you would have to accept due to the government’s price target dramatically higher sales prices.
Other countries follow the example of Venezuela anyway. China, for example, has been testing it for some time, and a Digital-to-Yuan and typical beginner could avoid mistakes by using the Petro model. A limited Rollout would be a possible approach, in order to prevent the consequences of severe functional problems.
A mandatory means of payment-acceptance in the corporate sector would be such a failure, as Venezuela has demonstrated. Especially when it comes as a heated debate on the real value of a Token. Many investors had to sell Petro-stocks, loss of Empire, and then in the actual national currency, the Bolivar, to be converted.
The obvious answer for many companies: they are no longer accepted short-hand many of the Petro – despite official government statements that showed the Token as a legitimate means of payment. Problems between politics and the population were inevitable.
In addition, Venezuela was trying to make the petrochemical in the Wake of the Corona-crisis as an Extra means of payment to Physicians to spend the high cost of the fight against the pandemic cover. Voluntarily, the government has not finished her project, so for the time being.
The interest in South America is generally large, such as the distribution of Bitcoins in the countries of the Region demonstrated. Reason for the popularity of the price instability of the Bolivar and the “normal” Petro is in Venezuela for sure. Investors are of the opinion that the Bitcoin is suitable as a store of Value better than the currency of the country. In addition, further write-downs, which would be partly due to the sanctions from the USA, as well as the historically poor Oil prices. Finally, a big Ölversorger is the country of the world.
There are some news sources, which attest, at least for the month of March, no serious crypto downturn in the Petro. However, A possible already existing Petro-Overvaluation by the government could be an obvious reason.
