[2018-03-19] Trump bans Venezuelan cryptocurrency in the US

[xxcsu]

Trump bans Venezuelan cryptocurrency in the US

U.S. President Donald Trump has issued an executive order to ban Petro in the U.S. Petro is a cryptocurrency developed by the government of Venezuela.

As of today, U.S. citizens, residents and companies can’t buy or sell Petro. The executive order says that Venezuelan President Nicolás Maduro is trying to avoid U.S. sanctions against Venezuela with this new cryptocurrency. The U.S. Treasury Department already warned U.S. investors back in January.

Maduro first unveiled the country’s cryptocurrency in December. He said that Petro would be backed by oil and mineral reserves. But the issue is that the Venezuelan government unilateraly fixes the price of the Petro. So Maduro can say Petro tokens aren’t worth anything in a year without any consequence.

While the government has published multiple whitepapers, it's still unclear if Petro is based on the Ethereum blockchain or NEM blockchain. But it didn't stop them from raising hundreds of millions of dollars during the pre-sale. Venezuela's National Assembly has also deemed Petro illegal.

Venezuela currently faces an economic collapse combined with hyperinflation. The bolívar fuerte, the country’s currency, is now worth 10,000 times less than its value in August 2012.

So turning to cryptocurrencies could be a smart move when your bank notes aren’t worth anything. But it doesn’t solve the core of the issue.

[Diced90]

Am pretty sure US citizens had an idea to stay away from Venezuela as the sanctions where there even before so not really shocking news, but because of the nature of digital currencies I think it will be difficult to know if its citizens did participate in the token sale or hodl some already its everybodies guess now.

Waiting to see how the petro will perform now

[aso118]

This was to be expected. There was no way the US government is going to allow US citizens to buy the Petro and benefit the Venezuelan government, when the US government has imposed sanctions on it. The difference this time is that there are no banks for the US government to lean on, and enforce its policies. In a decentralized world, the market will decide whether the Petro is worth holding or not; the US government can only sit back and watch.

[Leyss]

This was to be expected. There was no way the US government is going to allow US citizens to buy the Petro and benefit the Venezuelan government, when the US government has imposed sanctions on it. The difference this time is that there are no banks for the US government to lean on, and enforce its policies. In a decentralized world, the market will decide whether the Petro is worth holding or not; the US government can only sit back and watch.

Indeed, a very interesting situation. The presidential decree has been issued, and it can not verify whether it is being executed by the US government. This is one of the clear advantages of a decentralized crypto currency. Citizens of the country can buy Petro on international crypto exchange markets, keep, exchange, sell, and the government can not even see it. As for the Venezuelan Petro himself, it is simply interesting how he will behave and how actively he will bargain in the world and be in demand. True, it differs from the rest of the centralized crypto currency in that it is allegedly provided with oil.

[DooMAD]

It's rare for me to find a dispute where I want both sides to lose, heh.  The "Petro" is clearly a useless joke, but then so is America's current Commander in Chief.  

Obviously I can't, in all good conscience, recommend anyone buys Petro just to spite Trump, because it's almost certainly a terrible investment idea.  But the fact that Trump can decree whatever he likes and it's now completely meaningless because it's difficult to enforce amuses me greatly.  

But on a serious note, I do feel bad for the people of Venezuela.  Even if by some sheer fluke or miracle the Petro did turn out to be a success, their lives aren't going to get any better either way unless they're some of the fortunate few who managed to get hold of some Bitcoin amidst all the chaos in that economy.  Venezuela itself is still going to be a complete mess however this little fracas concludes.

[seoincorporation]

It's rare for me to find a dispute where I want both sides to lose, heh.  The "Petro" is clearly a useless joke, but then so is America's current Commander in Chief.  

Can't agree more. Both presidents are a joke and the reason of the suffer of many. Nevertheless, I believe maybe petro has a chance, not because it is done by Venezuela, not even because it is based on oil (which is not, or not for the moment), but because it is the first cryptocurrencie made by a government and launched into the world by some good publicity managers. This is a fu.... joke, and, like you said, this is not going to help the people, victims of a corrupted-shameless government.
The point the US is going to make is the usual: we can say to the world what we like and what we are not going to accept. And they spect the world to kneel down, for the great master has spoken. And behold!!! Maybe this time they are wrong, and just because there are many countries who actually are sick of the US petro has its chance!!
I don't like Petro, I despise the complete idea of a centralized crypto, even more, if it achieved the goal to be based on oil, as the Venezuelan government is always showing off. I also see petro as a scam, but who knows?? The tiny rebel-coin maybe becomes a master just because the US hate it!!

[JuanPabloCuervo]

This is all I have to say:
https://bitcointalk.org/index.php?topic=2866004.msg32719832#msg32719832

[donmiguello]

Trump should be back on the earth   how you can ban something thats only exist virtualy

there was no KYC . I think these old white guys should think that the Gov does not have power on Crypto . The real power is Crypto .

Bank and Gov exist only in the Rich countries . I beleave in a few years Banks and gov will not exist anymore because everyone will adopte Bitcoin or other Crypto.