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In February 2018, Venezuelan President Nicolas Maduro announced Petro, the official cryptocurrency backed by the government. It’s called Petro, but the coin is not decentralized. Rather, it is controlled by the government. Because of this, the coin failed to garner popularity like U.S. dollars and Bitcoin with the locals.
Venezuela has the 3rd highest level of Bitcoin adoption in the world as many seek a solution to their country’s economic instability. An inflation rate of over 53,000,000% since 2016.
While Bitcoin can, yes, be the solution, poor people need internet and stablecoin; most people gain 3$ per month in Venezuela. The nation has had a rough past.
Crypto is not meme coins and a simple investment. Crypto has the authentic power to lift the quality of life in developing areas where most people are bankless or perhaps live behind a corrupt financial system.
Being bankless is a massive obstacle for those of limited wealth. However, blockchain, crypto, and DeFi is changing all that. The domestic currency losing its purchasing power is a nightmare.
There are also Venezuelans who do not like Bitcoin for its volatility. And many of them do not use it for everyday needs.
The U.S. Sanctions on Venezuela are a significant problem. U.S. sanctions are designed to ensure that Venezuela does not profit from illegal gold mining, state-operated oil operations, or other business transactions that would enable the regime’s criminal activity and human rights abuses!
On 9 March 2015, the United States President, Barack Obama, signed and issued a presidential order declaring Venezuela a “threat to its national security” and ordered sanctions against seven Venezuelan officials.
In Venezuela, intervention by the United States has been alleged by allies of Nicolás Maduro and political figures from the left spectrum; Maduro’s government states that the crisis is a “coup d’état led by the United States to topple him and control the country’s oil reserves.”
Those who are willing to know more should check: https://www.state.gov/venezuela-related-sanctions/
Venezuela is a very young country; the average age is 33 years. The last census showed a 91 percent literacy rate; the remaining 9 percent includes mostly minorities or deeply impoverished people. Higher education is provided by universities, institutes, university colleges, and university institutes.
Venezuelan aviation company Caracas Air will now accept payments in bitcoin, according to a tweet from the CEO of the company. ACCORDING TO THE CHART BELOW, peer-to-peer BTC trading has seen a steady increase in the country, with volume continually growing. Many local merchants also accept cryptos.
Though there are mixed opinions about BTC among the people as the economy of Venezuela is regressing, cryptocurrency seems to be filling the gap.
