The National Assembly of Venezuela voted on Tuesday to declare null and void the issuance of the oil-backed Petro cryptocurrency and any obligations allegedly stemming from its generation, viewing the action as unconstitutional and a form of theft from the Venezuelan people. The opposition-controlled Assembly asserts that the oil and other natural reserves underpinning the Petro belong to the Republic of Venezuela and that the issue of PTR tokens violates laws governing the issuance of currency, claiming the Executive branch of Government seeks to bypass legislative controls.
Deputy Francisco Sucre warned that the USD 735 million that has reportedly been invested into the government issued cryptocurrency should be retained and injected into the Venezuelan economy.
Sucre argued that “No mechanism like the PTR can be guaranteed [with natural assets]. Oil fields are national goods and can not be given as collateral. The situation in the country is becoming more jeopardized, nobody knows the origin of these investors, and nobody can invest a dollar in a guaranteed device with assets that come in free fall, like oil.”
President of the Permanent Finance Committee, Deputy Rafael Guzmán said, “[The Executive branch] wants to continue embezzling the national Treasury, damaging the National Integrated Customs and Tax Administration Service by forcing them to receive a devalued [and illegal] currency. It will not be with the PTR that the food and medicines will be returned to the Venezuelans; this deepens the crisis that we are living in. The PTR is another niche of corruption, and we will come out of this crisis with the measures that we have announced from this Parliament.”
Deputy Alexis Paparoni added, “The PTR is not a cryptocurrency. It is a strategy to generate Treasury resources to keep stealing money from Venezuelans. The Dec. 13 decision of a [national] digital currency system [was] backed by oil, gold, diamond and gas reserves, but the Organic Law of Hydrocarbons establishes that the hydrocarbon deposits of the country belong to the Republic and are inalienable and imprescriptible goods.”
Meanwhile, Venezuela continued its PTR rollout on Tuesday, with Vice President Tareck El Aissami announcing plans to auction the cryptocurrency to private companies via the Dicom foreign exchange platform in a few weeks.
The petro was issued on President Nicolas Maduro’s orders in an effort to breach the US financial ‘blockade.’ The cryptocurrency will be used in purchase and sale deals by the country’s state energy company PDVSA and Venezuelan state-run conglomerate CVG that operates aluminum producers and state petrochemical company Pequiven.
- FED Chairman Offers Lukewarm Response On Impact, Utility Of Existing Cryptocurrencies - July 20, 2018
- Boeing Brings In SparkCognition For Help Developing UAV Management Systems - July 19, 2018
- Nervos Network Nets Nearly $30 Million To Build Hybrid Blockchain Platform For Enterprise - July 19, 2018
- Chinese Blockchain Companies Continue To Flourish, If Only In Name - July 18, 2018
- G20 Report Outlines International Collaboration On Standards For Crypto-Assets - July 17, 2018
- Hong Kong Readies Regulator-Backed Trade Finance Platform - July 17, 2018
- RMB to BTC Trading Falls To 1%. Is China Really Out Of The Crypto Game? - July 16, 2018
- Chinese Internet Trends May Spell Trouble For “Disruptive” Crypto Payments - July 13, 2018
- LINE Plans July Cryptocurrency Exchange Launch - July 3, 2018
- McAfee Labs Report 6x Increase in Crypto Mining Malware Incidents in Q1 2018 - June 29, 2018
- Facebook Updates Policy To Allow Vetted Crypto Businesses to Advertise, ICOs Still Banned - June 27, 2018
- Following in Vitalik’s Footsteps? Polkadot’s Habermeier Awarded Thiel Fellowship - June 26, 2018
- SingularityNET and Project Shivom Using AI on Genomic Data to Extend Human Life - June 26, 2018
- Microsoft & EY partner for Royalty Distribution in Gaming - June 26, 2018
- Alibabacoin to Airdrop ABBC Tokens to First 500,000 Wallet Users - June 25, 2018
- Care Records of up to 30 Million UK NHS Patients go on Blockchain - June 25, 2018
- PundiX Signs UTRUST as Liquidity Clearing Provider for Crypto POS Hardware - June 22, 2018
- Blockchain on the Ballot: Indie Party Candidate Joins Texas Senate Race - June 21, 2018
- IONChain Aims to Challenge IOTA on a Chinese Battleground - June 19, 2018
- Takeaways From SEC Director’s Comments on Cryptocurrencies and Securities - June 19, 2018