Venezuela Invites OPEC to Develop Oil Crypto Platform

President of Venezuela Nicolas Maduro invited all OPEC countries to jointly develop a platform for trading oil-backed crypto-currencies
07 February 2018   121

Venezuela itself is preparing to pre-sell its own "oil" cryptocurrency "petro", which can be used to pay taxes, fines and utilities. This is reported by Bitcoin.com.

On Tuesday, at a meeting with Mohammed Barkindo, Secretary General of the Organization of Petroleum Exporting Countries (OPEC), Maduro invited all OPEC countries to unite and develop a platform for trading "oil" crypto-currencies.

OPEC Meeting
OPEC Meeting

PEC includes 14 countries: Algeria, Angola, Ecuador, Equatorial Guinea, Gabon, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates and Venezuela.

I will officially propose to the OPEC and non-OPEC countries that we adopt a joint cryptocurrency mechanism backed by oil.we will also support our cryptocurrency with precious minerals from our land. I have explained to Mohammed Barkindo the goodness of the petro. The cryptocurrency is the world of the future. I am very excited as well as the people of Venezuela.
 

Nicolas Maduro

President, Venezuela

Venezuela recently published a "white book" of its "oil" crypto currency. Private pre-sale will begin on February 20, and then in March, the ICO of petro tokens will start.

Maduro confirmed that in addition to the "5 million barrels of oil" Venezuelan crypto currency will be provided "precious minerals from our land".

The Bolivarian Republic of Venezuela guarantees that it will accept petros as a form of payment of national taxes, fees, contributions and public services. The Venezuelan government is committed to promoting the use of petro in the domestic market and making efforts to stimulate its acceptance throughout the world. The State will actively assume the commitment to promote the adoption of petro, encouraging the growth of its national and international user base.
 

Petro Whitepaper

The Venezuelan manager on cryptocurrencies also shared new details about previously announced Petro Containers and stated that they are intended for "massification of mining farms in secondary schools, universities, university villages and other places with a large population".

German Financial Regulator Clarifies Stance on ICOs

The Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin) has clarified its position on ICOs
22 February 2018   53

German financial regulator admitted it was receiving many inquiries about the status of tokens and cryptocurrencies. According to an advisory letter, BaFin provides some basic definitions of ICOs and related terms. It is important because the results of a new survey showed that more than two-thirds of Germans know about bitcoin.

In this letter, BaFin educates the public and explains how tokens are typically generated, how blockchain works and that ICOs are used to raise funds for startup projects. The note states that for regulatory purposes, ICOs, tokens, coins, and cryptocurrencies are subject to the existing provisions in the field of securities supervision and other relevant national and EU laws.

The authority advises participants in ICOs to check and follow rules applicable to regulated financial instruments, such as securities. If businesses or individuals have any doubts about regulations, they should approach BaFin.

According to BaFin, companies should fulfill any obligations under the Banking Act and the Capital Investment Code, the Insurance Supervision Act and the Payment Services Supervision Act. The transactions may be prohibited if relevant regulatory requirements are not met.

The authority also states that legal classification of tokens requires precise examination. It will determine their status on a case-by-case basis after studying their features. The token should be transferable and tradable on cryptocurrency trading platforms in order to be classified as a security.