Venezuela's central bank is holding Cryptocurrency!

[TokenHodlr]

Looks like the communist nations are in preparativo to something big coming.

The great crisis is coming?

Yeah, but bitcoin isn't exactly a safe-haven asset to be holding in the event of a crisis--unless those countries are expecting the end of the banking system (which was feared back in 2008 or so).  What if bitcoin continues to decline in value?  They're going to be left holding a depreciating asset, and it doesn't make sense that they'd do that.  If Venezuela was going to be stocking up on anything, I would figure it'd be gold & silver, not bitcoin.

According to the latest information from Bitcoin.com, they have reported on this.

Just a suggestion: you might want to provide a link when you're sparking a discussion based on news reporting.  That way we don't have to go digging for whatever article you're referring to.

According to Bloomberg, the Central Bank of Venezuela is examining whether it can
receive and transfer cryptocurrencies. Sources said the central bank has been studying
plans that would allow cryptocurrencies to be recorded as international reserves, now
near-record-low levels.

[Heimer]

They are probably trying to hedge against depreciation of their own currency. This is no secret that BTC and ETH are commonly used in Venezuela 

[betty11]

It's not wrong to hold cryprocurrency to help the economy specially the bitcoin. But Venezuela as a nation is under political and economic crisis.Any money will do well in a country with a stable politics. The US will be glad to grind Venezuela government and economic to the ground.

[stompix]

Just a suggestion: you might want to provide a link when you're sparking a discussion based on news reporting.  That way we don't have to go digging for whatever article you're referring to.

https://www.bloomberg.com/news/articles/2019-09-26/venezuela-has-bitcoin-stash-and-doesn-t-know-what-to-do-with-it

Keywords:

Venezuela’s central bank is running internal tests to determine whether it can hold cryptocurrencies in its coffers, according to four people with direct knowledge of the matter.

according to the people, who asked not to be identified discussing internal deliberations.

Press officials for the central bank and PDVSA didn’t reply to requests for comment.

It isn’t clear how PDVSA came to own Bitcoin and Ethereum, or the value of its holdings.

So, the whole article is basically...we think that there might be the possibility of this bring treu and not false.  

There are several other countries that have saved bitcoin as its digital assets

This draw me attention, which countries are holding BTC that you know for sure, not any speculation?
The only country I know it's Bulgaria

Ignore obvious shitsposts next time, he is just trying to make his quota....

Every one know, USA every look to attack countries with big oil crude production.
And Venezuela have support from Russia

Top 15 oil producers looks like this: (of course, counting out the US which ranks 1st)

Saudi Arabia,Russia,Iraq,Iran,China,Canada,United Arab Emirates,Kuwait,India,Venezuela,Mexico,Nigeria,Angola,Norway

Which and how many of them has the US attacked?

Eh, I should have kept the previous advice for myself 

[whyrqa]

I believe that Venezuela can make a very big stir not only in the world of the cryptocurrency market, but also create a panic in the government of the United States of America.  I believe that everyone knows that Venezuela is practically the leader in holdings of world oil reserves in the world, which make up about 18%.  In addition, I want to mention the fact that the leaders of the Venezuelan oil and gas industry PDVSA  plans to use Ethereum and Bitcoin as payment for their suppliers.  In this way, they can circumvent the sanctions of the United States of America.  Based on this, I believe that cryptocurrency can dramatically change the situation with the economy of this country.

[lab rat hoax]

I would like to express my opinion on the issue rather than the effect on the market. cryptocurrencies are the key to the exit from the economic crisis. Because with crypto coins, people can protect their money against inflation for example argentina! You know Argentina is experiencing economic crisis and a few weeks ago, bitcoin reaches highest level in history on argentine peso basis. cryptocurrencies are the key to the exit from the economic crisis that is a certain truth!

[mazdafunsun]

If this is true , then it has no impact on the market .
it would make some sense , if there are sanctions in place for their central bank. In this case I Imagine, they have problems buying stable currencies as USD and EUR. Then the logical thing would be to buy some crypto which is better than their local currency.

[$Andreyka$]

I noticed that in countries that have problems with the economy - they accept Bitcoin very well. Examples are Venezuela and Argentina. People no longer believe in governments and banks, and that’s good for us. I mean cryptocurrency holders.

[Periodik]

If this is true , then it has no impact on the market .
it would make some sense , if there are sanctions in place for their central bank. In this case I Imagine, they have problems buying stable currencies as USD and EUR. Then the logical thing would be to buy some crypto which is better than their local currency.

We cannot be sure which particular cryptocurrencies the Venezuelan central bank are holding. It could be Bitcoin or some altcoins or stablecoins or perhaps a combination of Bitcoins and altcoins. I guess this will have an impact to the market. Every single buy order will have an impact to the market and if an individual whale could cause a movement in the prices then a central could do it several folds. A central bank will not buy a couple of BTC only or a handful of ETH or a hundred of USDT.   

[timerland]

As far as I know, it is not only Venezuela that is holding cryptocurrency at central bank. There are several other countries that have saved bitcoin as its digital assets.  they realize that saving or investing in bitcoin is beneficial. venezuela save cryptocurrencies possible as their financial backup.  because they intend to replace their paper money to becomes cryptocurrency.

There are several other countries that have saved bitcoin as its digital assets

This draw me attention, which countries are holding BTC that you know for sure, not any speculation?
The only country I know it's Bulgaria

How accurate is this information? I'm almost certain that countries like Venezuela would have governments that are holding BTC due to their economy and their involvement with BTC.

If I had to guess 5 countries holding BTC, I'd say USA, China, Singapore, Australia and Korea. All seem like countries that are interested in controlling or investing in BTC.

[rdbase]

Better to have them holding something worth of value outside of their own countries currency so I cant see the banks there turning down this golden opportunity to get their countries economy out of the shithole it is in right now.

[Reatim]

According to the latest information from Bitcoin.com, they have reported on this. I don't know if this is a bad effect or a good effect on the market? Everyone can make a point here.

Never put a big news here without links that will support your info because hearsay or speculation wasn’t deserved to be here and better transfer to this section
https://bitcointalk.org/index.php?board=57.0

But if that’s legit then this is one good option for other countries to do as well for their economy’s future ,Venezuela on the other hand is very desperate and willing to do,risk and spend everything just to grow their economy again

[toGETher_platform]

According to the latest information from Bitcoin.com, they have reported on this. I don't know if this is a bad effect or a good effect on the market? Everyone can make a point here.

After the situation with ElPetro, was almost destroyed fiat sovereign Bolivar of Venezuela-it is even logical. The country is suffering from high inflation, which has only been worsened by President Maduro's attempt to create a state cryptocurrency.

[Beparanf]

Better to have them holding something worth of value outside of their own countries currency so I cant see the banks there turning down this golden opportunity to get their countries economy out of the shithole it is in right now.

Exploring and accepting changes is the risk they have to take to be able to survive in their economic crisis. This might be the chance for them to overcome the low value of their currency as more improvement happens in cryptocurrencies than their own currency. Their government must also provide tutorial or seminars to let their people know how they will benefit from it.

[magneto]

Whether the central bank holds BTC or not is quite irrelevant.

They are obviously not pushing for adoption in the general sense, and if they are holding decentralised cryptos, it's not because they want their citizens to be holding them also - it's to self preserve and hedge against the imminent collapse of the bolivar which is already occurring and to pursue national interests.

I doubt that there will be significant structural reforms of real push for currency reforms with Maduro still in office. And don't talk to be about Petro, it's a scam.

[toGETher_platform]

According to the latest information from Bitcoin.com, they have reported on this. I don't know if this is a bad effect or a good effect on the market? Everyone can make a point here.

After the situation with ElPetro, was almost destroyed fiat sovereign Bolivar of Venezuela-it is even logical. The country is suffering from high inflation, which has only been worsened by President Maduro's attempt to create a state cryptocurrency.

I am guessing their grande plan of making their very own cryptocurrency didn't pan out well for them in the end and they have now resulted to this. If they are indeed holding Bitcoins as well then I believe it would be good as holding seems to drive the currency much higher.

Their plan didn't work because what they were trying to create was far from the concept of "cryptocurrency." In anticipation of the release of ElPetro, there were frequent raids on miners in Venezuela. It is possible that the bitcoins that the Bank now holds belong to the victims of these events.

Whether the central bank holds BTC or not is quite irrelevant.

They are obviously not pushing for adoption in the general sense, and if they are holding decentralised cryptos, it's not because they want their citizens to be holding them also - it's to self preserve and hedge against the imminent collapse of the bolivar which is already occurring and to pursue national interests.

I doubt that there will be significant structural reforms of real push for currency reforms with Maduro still in office. And don't talk to be about Petro, it's a scam.

Yes. ElPetro is a state-created Scam. The most interesting thing is that I could not find any information about this coin. Neither of the rounds of funding. Nothing. All we know about this bench are mostly quotes from president Maduro.

[Anegg]

According to the latest information from Bitcoin.com, they have reported on this. I don't know if this is a bad effect or a good effect on the market? Everyone can make a point here.

I think this is a clear sign that cryptocurrency is headed in the right direction and its good to see a country which such high inflation investing into crypto as a means for retaining wealth instead of more stable options such as gold or other valuable materials. Additionally, this creates more demand for crypto and helps increase their value which in turns benefits anyone who has invested into it.

Overall, this increases the chance of widespread adoption of cryptocurrencies, in fact, I am sure that many central banks would be holding cryptocurrencies but have not revealed this information. If countries around the world showed that their government/central bank was holding cryptocurrencies, the demand and value of them would skyrocket.

[FanEagle]

According to the latest information from Bitcoin.com, they have reported on this. I don't know if this is a bad effect or a good effect on the market? Everyone can make a point here.

If they are holding cryptocurrency, it depends on the cryptocurrency they assume to be holding, is it the popular bitcoin or is it the new cryptocurrency they are creating which if it is the new cryptocurrency, it would just be a way of them making more money. I understand that they are creating their own Petro coin, and if this coin being created is being held by them, then they will do everything possible to just push it to the very best end.

Holding cryptocurrency is just going to be like the way satoshi is holding 980 000 of bitcoin now and you can imagine how much that is worth now, so if Venezuela creates a currency and they are holding about 10 millions of it and they push the coin to at least reach 10 to 50 dollars, imagine how much Venezuela would have made form that.

[bitgolden]

Big stuff like central banks and huge banks holding bitcoin is both a great news and a horrible news for a simple reason. If you private banks and central banks all hold bitcoin that means there is less bitcoin in the market, people could still try to trade bitcoins but there will be less in the market nevertheless, even though miners are printing bitcoins everyday that will be always the case even if the banks didn't hold it so all in all we are left with less bitcoins in the market making it a scarcity so it gets higher in price.

However, bad side is they could sell a ton of bitcoins all at once, them buying thousands all at once and holding profits us but them selling thousands all at once would hurt the market and it sometimes happens as well so all in all its a big risk big reward situation for us small investors.

[alyssa85]

The story is more complicated than "Venezuelan central bank holds cryptocurrency".

It turns out that the state owned oil company wants to send bitcoin and ethereum to the central bank because it can't get hold of dollars:

https://www.bloomberg.com/news/articles/2019-09-26/venezuela-has-bitcoin-stash-and-doesn-t-know-what-to-do-with-it

Venezuela’s central bank is running internal tests to determine whether it can hold cryptocurrencies in its coffers, according to four people with direct knowledge of the matter.

The efforts come at the behest of state-run Petroleos de Venezuela SA, which is seeking to send Bitcoin and Ethereum to the central bank and have the monetary authority pay the oil company’s suppliers with the tokens, according to the people, who asked not to be identified discussing internal deliberations. Staffers are also studying proposals that would allow cryptocurrencies to be counted toward international reserves, now near a three-decade low at $7.9 billion.

...It isn’t clear how PDVSA came to own Bitcoin and Ethereum, or the value of its holdings. But the oil producer has struggled to get paid by customers via conventional channels because major banks are hesitant to do business with a sanctioned entity.

PDVSA may be hesitant to sell its cryptocurrencies on the open market because it would require the company to register with an exchange and subject itself to due diligence. Instead, it wants the central bank, which officials at the oil company believe is less exposed to potential blocks, to use the crypto to pay entities PDVSA owes money to.