If Re-Elected, What Impact will a Trump Presidence Have on Cryptocurrency? Case of the Venezuelan Petro.
President Trump banned United States citizens from possessing or using the Venezuelan cryptocurrency called the Petro. The cryptocurrency is backed by Venezuelan oil reserves, and was banned due to its intention to dodge US sanctions.
The Petro was created to gain capital for the Venezuelan government, which has been facing extreme financial hardship and unrest. One Petro coin is worth 1-barrell of crude oil. Upon further inspection, the Petro is not even a real cryptocurrency! The white paper has been examined, and the Petro asset was supposed to launch on the Ethereum blockchain, but it was subsequently changed to the NEM blockchain, and then back to the Ethereum network again. It is a speculative way to gain funding and dodge regulations. As a "cryptocurrency" it is not a regulated security, and can avoid many laws regarding security transfer. Many criticized Trump for creating an executive order to quash this cryptocurrency, but it helped legitimize actual digital assets with use cases. We need to stop cryptocurrency scams and perversions of this new asset class, and Trump made that call.
President Trump has been in vocal opposition of cryptocurrency, and has criticized its volatility and use in organized crime. He has joined Warren Buffett in his similar views that cryptocurrency and resultant digital assets are a gamble without economic support metrics. Trump has however not taken action against cryptocurrency. He has maintained a rather neutral posture, and is not in full support like Andrew Yang has been. As a businessman, he has worked with the IRS to create a dialogue between users of and investors in cryptocurrency. This is a needed step. He set emotions aside and realized we need to make inroads.
If elected, expect cryptocurrency to thrive. The Petro cryptocurrency is not even a cryptocurrency, and has been marred by its white paper, which upon further inspection is very close to the DASH white paper.
A point of contention, but a necessary step taken by President Trump has created a $2.4 billion branch of the secret service dedicated to cryptocurrency investigations. This was in the wake of the growing number of cryptocurrency scams, including the infamous One Coin and Bitconnect debacles. Both scams sucked at least $6 billion out of the economy, and this new investigation until could help bring legitimacy to the cryptocurrency market.
Originally published in my Publish0x account I own at:
Also published in my Steemit account I own at Cryptoedify.
Trump bans Petro cryptocurrency for US citizens:
More on the Petro bank executive order:
An article regarding cryptocurrency, written by Marketwatch:
The Secret Service Cryptocurrency investigations unit:
Picture from Pixabay.