Venezuela Blasts 'False' White Paper for Oil-Backed Cryptocurrency
Venezuelan officials have denied claims that the petro token's white paper has been released, calling such claims "false information."
Venezuela's government is pushing back against what it calls "false information" in connection with a purported white paper tied to its planned oil-backed cryptocurrency.
While the South American nation did not confirm exactly what this false information constitutes, the superintendent of Venezuelan Cryptoassets and Related Activities – recently created to oversee the work, which was first announced last month – told Reuters that the government was rejecting a white paper which purported to explain how the petro worked.
The white paper for the petro has not been released yet, he said, but Venezuelan President Nicolas Maduro will do so "soon."
A Reddit post from roughly two weeks ago claimed to include a link to the petro's white paper, and the document itself – unconfirmed by the Venezuelan government as of yet – appears to be hosted on the government's official website. Whether this document is an early version of the expected official release remains to be seen.
The controversial "petro token" was announced last month, with the stated goal of bypassing financial sanctions amidst a years-long economic decline. Venezuela's current fiat currency, the bolivar, has been subject to intense inflation, with the government recently issuing a 100,000 unit note.
That said, the proposal has drawn criticism from some quarters of Venezuela's government, namely the legislature, which is controlled by political forces opposed to Maduro. The concept has been called "illegal" by the nation's Congress, for example.
Venezuelan flag image via Shutterstock
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.