This is Part 2 of our article on Petro and Venezuela.
As discussed in Part 1 of the article, the launch of Petro in Venezuela created a massive wave of apprehension among the world community, with many leaders condemning the Nicolas Maduro government for launching a cryptocurrency over focusing on improving the country’s failing economy. The United States was not far behind either, and has been heavily involved in Venezuela recently. This article looks at the steps taken by the US to oversee and check Venezuela, as well as the current scenario in the financially ravaged South American country.
The United States Point of View
Venezuela and the US have had a tumultuous relationship in the past, with the first clear line of animosity drawn in 2015 when the then-President Barack Obama signed sanctions halting crude exports from within Venezuela. This decision formed the backbone of Nicolas Maduro’s animosity towards the US, with the South American country making it clear at the World Trade Organization that the sanctions against it were ‘discriminatory’.
Obama’s successor, Donald Trump, has widened the chasm between the two countries by backing Juan Guaido, the leader of the Venezuelan Opposition party. Guaido also received support from other countries like Canada and Germany, forcing Maduro to speculate about a grand coup orchestrated by the world’s most powerful nations. The sheer amount of opposition did not stop the Venezuelan government from boosting its Petro prowess though, as the government established its own cryptocurrency regulatory authority called Sunacrip.
Since its inception, Sunacrip has released multiple decrees and articles to integrate Petro into the workings of the Venezuelan economy. One of the official decrees from Sunacrip says,
“The sender of the remittances referred to in this ruling is obliged to pay a financial commission in favor of Sunacrip up to a maximum amount of 15% calculated on the total of the remittance.”
The developments around Petro peaked on 11 March,