Venezuela revealed details of mining, trading and distribution of national cryptocurrencies

nRunaway Commentary: The Venezuelan government enacted a decree that outlines the distribution, mining and trading plans of Venezuela’s national cryptocurrency Petro and formally supplies oil through the officially signed Ayacucho, the No. 1 oil field in the Orinoco Belt Document, Petro will receive the value of 5 billion barrels of crude oil support. And the prices of these oils are based on the OPEC basket price. At the same time, as long as the government agrees, it will increase the value of diamonds, gold and other physical support, and specialized cryptocurrency expert group to monitor and monitor the relevant market activities. Petro can be redeemed for other cryptocurrencies or cashed in, with the issuance done through a regulatory auction or direct allocation. After that, the holding and management of the cryptocurrency will be decentralized. This kind of government move is of great significance to the development of cryptocurrencies this year.n
nTranslation: Annie_Xun
The Venezuelan government has enacted a decree that outlines the operation of Venezuela’s national cryptocurrency Petro. It details the government’s new monetary plan, which includes issuance, mining and trading. In addition, Petro will receive the value of 5 billion barrels of crude oil support.n
5 billion barrels of crude oil and mining plansn
Venezuelan President Nicolas Maduro signed a letter of concurrence to bolster the country’s cryptocurrency with 5.37 billion barrels worth of 267 billion U.S. dollars. In early December, Maduro first revealed plans to create Petro.n

According to a Reuters report, on the weekly national radio television broadcast, he showed “an official oil supply document for Ayacucho, the largest oil field in Orinoco, in support of El Petro cryptocurrencies.” Quoting Maduro’s words, “each Petro will receive the value of a barrel of crude oil support.”n
He confirmed that “we will set up an expert group of cryptocurrencies to allow them to participate in mining in all the states and provinces in the country.”n
In addition, the media reported that the president “promised to invest Arco Minero gold reserves and domestic diamond reserves in the domestic Orinoco oil strip into” Petro.n
The media reported that Cryptocurrency Superintendency and National Blockchain Observatory will oversee the creation and operation of Petro.n
Distribution and trading plansn
The Maduro government has issued a communiqué outlining a 13-part edict that covers almost half the details of Petro’s operation.n
Article IV of the Act describes the assets that underpin the new currency, saying that Petro “relates to Venezuelan oil prices in the OPEC package of oil prices, as well as other commodities, including gold, diamonds, coltan and natural gas.” Moreover, each Petro “will be supported by a package price of Venezuelan oil or any physical sales contract decided by the state.”n

Article 5 discloses the features of the Petro wallet and the convertibility of the encrypted currency.n
n”Petro holders may convert another cryptocurrency in the same amount as the market value of the encrypted asset or convert it into Venezuelan silver according to the market exchange rate published by the Encrypted Assets Exchange.” Each Petro holder will have a virtual wallet , And at your own risk. “n
nThe government bulletin provides some of Petro’s distribution details and hinges on the ICO. Article VIII shows that “the first issue will be done through auction or direct distribution, with the enforcement of Encumbered Assets and related Venezuelan activity regulators.”n
Furthermore, the government explained in Article 9 that “custodialization will be decentralized once the encrypted assets and related Venezuelan activity regulators begin to conduct the first auctions or allocations to investors.”n
As for when it was released, the local press quoted Jorge Rodriguez, the recent Minister of Communications and Information, “the first release of Petro will be announced in a matter of days.” Then at the end of the year at the national television broadcaster, Maduro, on December 31,n
n”In January, I’ll cover all the situations where Petro starts to run.”n

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