Venezuela Pegs Minimum Wage to State Digital Currency

In a move that highlights the importance of digital currencies going forward, Venezuela pegged its minimum wage to its own state crypto. On Friday, Venezuelan President Nicolas Maduro announced pegging the value of minimum wage to half a Petro, its state-sanctioned digital currency. Although authorities modeled it on the Bitcoin fork Dash, Petro (PTR) is centralized around government issuance. That makes it more like a Central Bank Digital Currency (CBDC) than crypto. Half a petro worth roughly 126 bolivars or…

Venezuela – How Does the Petro Crypto Work?

Venezuelan President Nicolas Maduro suggested the creation of a national cryptocurrency in 2017. Officials claim that the country's oil, gas, and mineral riches back its value. However, as of today, Petro seems to fail fulfilling its purpose of rescuing the national economy. Some foreign observers believe the Petro digital currency is a trick to circumvent international restrictions. These sanctions prevent Venezuela from borrowing cash on global markets. This article will provide an analysis of the creation of this national cryptocurrency.…