On March, 19 Donald trump issued an order to forbid any purchase operations of the Venezuelan cryptocurrency. Treasury Secretary Steven Mnuchin was authorized to carry out all the necessary enforcement actions to adopt the order. There is an ongoing policy of the US government to oppose the Venezuelan one and pressure it. Such action interferes with the Venezuela interests to enhance its foreign reserves as the transactions of only US dollar and euro were greenlit.
It’s a pretty big blow. Since most cryptocurrencies are not actually backed by anything real, cryptocurrency speculation is based on the greater fool theory -- I can buy this at $100 because there is someone who is a bigger idiot who is going to buy it at $200. When you take the U.S. out of that equation, you reduce the interest and potential for that speculation.
Managing director, Caracas Capital
The sanctions against Venezuela apart from Petro purchase bad include government officials both current and former like Vice Minister of Internal Commerce, alternate director of the board of National Bank of Housing and Habitat and former president of board of directors of Venezuela Institute of Social Security. The situation of Venezuela will be discussed at G20 conference.
President Maduro decimated the Venezuelan economy and spurred a humanitarian crisis. Instead of correcting course to avoid further catastrophe, the Maduro regime is attempting to circumvent sanctions through the Petro digital currency – a ploy that Venezuela’s democratically-elected National Assembly has denounced and Treasury has cautioned U.S. persons to avoid. We discussed how to achieve our shared objectives of restoring Venezuelan democracy, combating the kleptocracy of the Maduro regime, and responding to the humanitarian crisis caused by Maduro’s economic policy.
Secretary, U.S. Treasury