The Petro flame seems to be burning ever brighter despite the condemnations and criticisms that the Venezuelan national cryptocurrency has faced both locally and internationally since its arrival in February 2018. On May 3, 2018, the nation’s president has revealed that Venezuela is on the verge of establishing a youth bank that will be funded entirely by the oil-backed petro altcoin.
The Power of Petro
According to Telesur, the Venezuelan head of state, Nicolas Maduro has declared that the oil and stable mineral-rich nation is launching a youth bank to be powered by 20 million petros, the nation’s controversial cryptocurrency.
Present at an event in the state of Aragua, organized solely for the youth population, the Latin American nation’s number one citizen stated that the bank would be provided with 1.2 billion dollars to enable it to operate optimally and also support “productive initiatives.”
Maduro has also urged all Universities in the nation to develop their cryptocurrency mining rigs to support the growth of the country’s economy.
A Just Cause or Just a Selfish Interest?
While Maduro and some members of his cabinet firmly believe they are fighting to set their nation free from the oppression of global superpowers via the use of blockchain money, the initiative has come under continuous criticisms and badmouthing.
Back in March 2018, a handful of Venezuelan government officials released a report stating that the president’s creation of a digital currency was an illegal and unconstitutional act. Some of the nation’s lawmakers have also accused the present administration of trying to mortgage the country’s oil deposits fraudulently.
However, Maduro and his supporters seem unperturbed by the criticisms and have continued to strengthen the petro with all their might. On April 11, 2018, BTCManager reported that Maduro had mandated all state-owned firms in Venezuela to carry out transactions using petro.
Notably, the Central Bank of Venezuela (BCV) was also authorized by decree to accept the national crypto for all exports of the nation’s robust mineral reserves including gold from small mining and handcrafted items. In that same month, the president responded to his critics by saying:
“I ask the world for respect. We do not get involved in the financial initiatives of other countries, whether they are powerful or not. Why does Venezuela have to be persecuted for trying to create a source of financing for its development, its happiness, for peace and economic expansion? The petro will continue its course, and nobody will be able to stop our cryptocurrency.”
With the nation still facing an internal and external crisis, it remains to be seen whether the petro will succeed in its quest to revamp the Venezuelan economy.