Venezuela's Parliament Says Petro Illegal

[Joanna + 68]

Days after announcing a formal decree launching the country’s asset-based cryptocurrency, the Petro, Venezuelan President Nicolas Maduro is hiring miners across the country to harvest the digital currency from the Petro mining farms. Maduro claims a total of 860,811 young people have signed up to “work” in the mining farm project as of press time. Some 300,000 of which have already begun working on it as part of the government’s Chamba Juvenil initiative. A mining software was developed to interconnect the computer hardware to be used in the project

[JohnAtronis + 78]

It seems to me that this is a long process. Still, Venezuela's government plans to launch its own cryptocurrency, backed by the country's considerable oil assets, as early as this week. The country's government claims that it will launch in days, backed by 5.4 billion barrels of oil, valued at $267 billion.

[Meanwhile + 49]

Sounds crazy. But I think this might save their economy if the coin is seen to have value outside the country. Will the currency be accepted on the forex? 

[Stephen + 67]

It is not truly decentralized unless it is open globally. The government that controls the software AND the miners (because it can arrest them) can change the network behavior on a whim. Remember: TRUE decentralization means that the miners are free to choose what version of software they are running. Otherwise - it's a SCAM.

[Joanna + 68]

You watch - the US will not tolerate this 'cheeky' creation of an oil dollar that competes with the longstanding, jealously guarded US 'oil dollar'. Calling it the 'Petro' is a direct poke in the eye to the USA.

[JohnAtronis + 78]

2 hours ago, Joanna said:

Days after announcing a formal decree launching the country’s asset-based cryptocurrency, the Petro, Venezuelan President Nicolas Maduro is hiring miners across the country to harvest the digital currency from the Petro mining farms. Maduro claims a total of 860,811 young people have signed up to “work” in the mining farm project as of press time. Some 300,000 of which have already begun working on it as part of the government’s Chamba Juvenil initiative. A mining software was developed to interconnect the computer hardware to be used in the project

One has to be a registered Venezuelan to be a miner. Also a good way to keep track of potential political enemies.

[Meanwhile + 49]

9 minutes ago, JohnAtronis said:

One has to be a registered Venezuelan to be a miner. Also a good way to keep track of potential political enemies.

How can they enforce that unless the currency is not open source?

[Rodent + 1,424]

I'm thinking this is all a nonstarter. A non-decentralized decentralized currency... hmm...

[Seleskya + 50]

I really don't think Venezuela can pull this off. Not convinced they have the capabilities right now. 

[TraderTate + 186]

And the main point is that this is just a way of skirting sanctions .... 

[Marina Schwarz + 1,576]

The Venezuelan parliament has ruled the new oil-backed cryptocurrency proposed by Maduro illegal and unconstitutional. Now what? 

[Rodent + 1,424]

Now nothing. Maduro will carry on despite parliament's ruling, as he is prone to do. The petro will be introduced, and then it will fail, right along with its oil production. All it is is like buying Venezuela oil ahead of time, and we all know how venezuela's oil production is going.... 

[Rodent + 1,424]

Now, just a day after the Venezuelan government declared the Petro illegal, Maduro announced that the launch of the Petro is just six weeks away. What the heck does that mean?

The venezuelan superintendent of cryptocurrencies (must be a new position?) said this: 

The petro will not be minable but [will be] pre-mined, that is, the complete emission will be under the control of the country. In addition, it will be assigned with a procedure similar to that of an auction.

What the heck does that mean?