Cryptocurrencies and the Lesson Venezuela Gave to the World

Harsh crises that have befallen the country of Venezuela and has ruined the economy of that country had found a little hope with cryptocurrencies. The nation that saw its assets under the pressure of sanctions and heavy inflation in danger have been able to preserve their asset value to some extent by turning to the crypto world. On the other hand, the government of this country blocks transactions higher than 50 dollars and blocks the accounts of those people. In such a condition, Bitcoin and Blockchain have come to the rescue of Venezuela’s citizens.

Cryptocurrencies Becoming Prevalent in Venezuela

The horrible situation of the economy at Venezuela has increased the number of Bitcoin transactions among the citizens of this country so much so that it is now more than that of countries like Australia, Canada, and India. Many retailers have also turned to accepting cryptocurrencies and citizens who want to leave the country, change their assets to cryptocurrencies and take them with themselves. Assets that are available in the form cryptocurrencies have more security and making transactions is easier with them.
In a situation where the people of Venezuela have turned to using Bitcoin, the government of this country has issued an exclusive cryptocurrency named Petro. However, according to different experts, the infrastructure on which these cryptocurrencies are offered are fake and a scam, meaning that it is not real and fraud takes place there. Petro is backed by oil resources. This means that oil resources have been chosen to back it, but there is no assurance. The reason is that there is no transparency of the different transactions in the Blockchain in which they are active.
Also, this cryptocurrency cannot be considered a cryptocurrency on a decentralized infrastructure. The fact that Petro is a scam is obvious in that the government fully oversees it, and through that, it intends to pay back its debts.

The Crypto Project of the Government of Venezuela has Failed

It seems that the Petro project of Venezuela has failed because even if there were no news of exploitation in the infrastructure of this cryptocurrency, the citizens of this country would still be faced with a cryptocurrency that is not decentralized and is overseen by the government. For this reason, other options such as Bitcoin have reached fame and popularity in Venezuela. The issue of security, privacy, and assets has made cryptocurrencies to become under a lot of attention in this country. With these new digital infrastructures, the possibility of tracing the identity of people via bank accounts and financial transactions will not possible. Perhaps the important message of Blockchain and cryptocurrencies in addition to the welfare they have created in communications and financial affairs is that the world will go toward a freer space with the help of this technology. A space in which the authorities of a person over his communications and assets will be much more than before, and there will be no spying on information, scams, hackers, frauds, etc. The achievements of cryptocurrencies and Blockchain can move the world. Venezuela and its catastrophic situation gave us a lot of lessons about the value and capacity of cryptocurrencies and Blockchain.
 

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