Is Petro a cryptocurrency? Analysis on Bitcoin and Petro
Bitcoin is a cryptocurrency, there are around 1300 or 1400 cryptocurrencies in the market, but Bitcoin is the most important in the world, at this point it is important to specify that Venezuela has its own cryptocurrency called onix, which is quoted as market value around 0.043 $ each onix, it is clear then that bitcoin is not the only cryptocurrency in the world, as already noted there are more than 1300 cryptocurrencies in the world, within which the one that has valued the highest value of the market has been the bitcoin since during 2017 the bitcoin reached approximately $ 20,000 each unit, which means that the revaluation of that cryptocurrency was gigantic, at this time (January 2018) the value of that currency is at levels of 11,000 $, that is to say that the fall was absolutely very pronounced, but it is also important to mention that in January of 2017 the value of that coin was $ 1000, that is, who invested in bitcoins at the level of $ 1000 and then sold at the level of quotation that had in December of 2017, obviously obtained a really extraordinary valuation.
So that, within this market that is emerging, which is having a huge resonance in the whole world, the pronouncement of the national government, with the launch of the Petro also made it possible to be world news but that in terms of the cryptocurrency as such , but this is a market that still has a lot of uncertainty, it is a market that does not really specify the stability of it, but it is a market that is there, that is latent and there are already governments that have definitely begun to pronounce in favor of its own cryptocurrency, such is the case of Japan recently, the case for example of kodak which recently pointed out that it is going to launch its own cirotpmoneda, is a market that is really in a process still of uncertainty, has its detractors as well as It has its defenders.
In the Venezuelan case, the idea of launching Petro is definitely with a very different objective and characteristics than what a cryptocurrency is, so Petro is really a currency that is quoted in the market, supply and demand, that is why it is that are definitely absolutely fiduciary instruments that depend fundamentally on investor confidence, anyone can invest in Petro which is an absolutely digital currency, that does not exist as there is the Bolivar, it is digital, everything is electronic, you can not make a check in a cryptocurrency, because its transactions are electronic and is what does not allow in one way or another to track who are the possessors of the cryptocurrency since it is a basically anonymous market, it is a market in which anyone can be and nobody knows who has it Your anonymity is what for some might represent a disadvantage because it could be lent for non-legal operations. However, about 380 thousand transactions with bitcoins are made every day.
Additionally, these currencies do not have the backing of a central bank, nor legal backing, and are not regulated by any authority. Despite all this, the Venezuelan government is * the only one worldwide * that has proposed the launch of a cryptocurrency: the Petro. In Venezuela this is a fledgling market but it is attracting a lot of attention because it has gained a lot of strength.
In 2014 there was talk of the use of cir- cummonedas to escape inflation, but in 2017 it was the relative importance of this digital currency in Venezuela. In Spain and the USA Some financial organizations are interested in giving transparency to the use of cryptocurrencies. On a personal level, most use these operations to accumulate wealth. At the level of nations, this could lead to capital flight and its economy being significantly affected. The Petro is an idea that the government is launching as a way to overcome the financial blockade imposed by other countries, which has generated problems along with the fall in the prices of oil and government bonds, for which Venezuela is looking to buy - debt- with the Petro. The Petro would not be anonymous and it is said that it would be backed by the Venezuelan oil barrels, besides it would be regulated by the State.
Now, this barrel of oil is from a specific area of the Orinoco oil belt, which are still in the subsoil, so the Petro and its operation do not match the operation of what is defined as cryptocurrency. In addition, the State would be launching the first cryptocurrency with the sole purpose of creating money for which it would be going over the Constitution of the Bolivarian Republic of Venezuela, as it would be offering as a guarantee (support) a resource that * DOES NOT BELONG *, but only responsible for managing. In this case, it not only offers to back the currency with oil but also with the reserves of gold and diamonds.
I consider that the issue of a currency by the Central Bank of Venezuela is to circumvent * a financial blockade * and this will aim more to become a Venezuelan bond backed by oil reserves, which also can not be done because the The constitution prohibits the alienation of such reserves and since to speak of cryptocurrency it should have the characteristics of being intangible, decentralized, not regulated by any central bank, that transactions are anonymous, their quotation depends on supply and demand, has no support of some economy and that the operations are registered in a blockchain.