Amidst their economic crisis, Venezuelan citizens are inclining towards cryptocurrencies, instead of their falling fiat. In an attempt to control the damage, the current government ruled by Nicolás Maduro introduced a national cryptocurrency, pegged as Petro. While Petro hasn’t been welcomed enthusiastically, Maduro government has since been trying to encourage citizens to adopt Petro as much as possible.
Their most recent attempt, Venezuelan authorities will soon mandate citizens to pay for their passport with Petro. Given that more and more citizens are trying to flee the country under the given circumstances, it sounds quite as smart move on the part of the government.
Since the announcement of Petro, the stable coin backed with oil has been looked up by suspicion. Investors, enthusiasts, the opposition, Venezuelan citizens all have been questioning the credibility of the token. Notably, a recent report from Reuters claims that Petro has no users, no investors and no oil to back it up.
In the state of jeopardy, the Maduro government has devised a plan to promote the adoption of the national cryptocurrency. Despite various measures by the government to entice the citizens to stay back in the country in hope of a better future, the citizens are flocking out at an alarming daily rate of 5,000 people. To flee/leave the economically battered South American country the citizens obviously require a passport and in order to get their travel documents in order, they will have to pay in petro.
We sort have to give credit to the Maduro’s government to target two accomplishments with one arrow(regulation); making the approach to passport a little difficult, discouraging citizens from leaving and to enforce petro adoption.
The new Venezuelan passports are priced at 2 petros almost equivalent to 7,200 bolivars ($115 USD) or roughly four minimum monthly wages. The Vice-President Delcy Rodriguez stated the same on Friday during a televised press conference as reported by local and foreign media.
Notably, the cryptocurrency hasn’t been made public as of yet, just last week President Nicolas Maduro, announced that Petro Cryptocurrency Sale To Start On November 5. Along with the announcement the whitepaper of the cryptocurrency was released, which sparked another controversy instantly as a developer claimed that petro is copied from Dash.