Maduro claims that earlier attempts to adopt cryptocurrencies were thwarted by “bandits and thieves.”
Only months after a crackdown that ended years of pro-crypto policies, Venezuelan President Nicolás Maduro declared that his country needed to go back on the “crypto path.”
He asserted that Venezuela’s cryptocurrency movement had been thwarted by “bandits and thieves.” Additionally, he declared that he would provide a “basket of multiple currencies” to support the banking industry.
Maduro: Venezuela’s Crypto Policy Was Hijacked by ‘Bandits’
The media outlet Criptonoticias reported that Maduro made the comments at a meeting with senior Venezuelan banking and securities executives.
Reportedly, Maduro used the occasion to “indicate” that he is “putting the cryptocurrency industry back on his political agenda.”
“The systems that will be created are multi-currency-based, with baskets of currencies. And that’s not to mention the world of cryptocurrencies. We started down that path and we must get back on it.”Nicolás Maduro
The Downfall of the Venezuelan State-run Cryptoasset
Under the direction of Maduro and his cabinet, the country of Latin America introduced its own oil-backed cryptocurrency, called the Petro (PTR).
The government also established Patria, a state-run remittance platform powered by cryptocurrency, and Sunacrip, a state-run organization that oversaw crypto policy.
Furthermore, Caracas supported cryptocurrency mining and even hired Venezuelan army engineering units to mine Bitcoin tokens for the government’s coffers.
Venezuela's Maduro says he will change half of his cabinet https://t.co/sh809LJDkF pic.twitter.com/St8GBng7ly
— Reuters (@Reuters) August 27, 2024
Maduro: Venezuela Crypto Adoption Ended by Plot
All of this was supported by a policy that focused on trade powered by cryptocurrencies. Due to US-led sanctions regimes that prevented Caracas from engaging in trade with countries aligned with the West, Maduro is said to have accumulated a substantial “stash” of Bitcoin (BTC) and Ethereum (ETH) coins.
After taking action against a $21 billion cryptocurrency “plot,” Maduro shut down Sunacrip, Petro, cryptocurrency mining projects, and more.
The state-owned oil and natural gas company Petróleos de Venezuela (PDVSA) was at the center of the “plot.”
Senior government ministers, Sunacrip officials, and others, according to Maduro, embezzled billions of dollars’ worth of cryptocurrency used in foreign oil sales.
The President pledged to go back down the cryptocurrency “path,” but claimed that “thieves” had hampered the development of blockchain technology in the nation.
“A group of bandits and thieves destroyed the path of crypto in Venezuela.”Nicolás Maduro
Recent contentious elections have seen Maduro at odds with Brussels, Washington, and other parties once more.
The United States Department of State has recently accused Maduro of “tampering with election results,” while EU leaders have also rejected Maduro’s claims of victory.
Therefore, as long as Maduro is in office, sanctions against Venezuela are likely to continue or get stronger.
President Nicolás Maduro appointed Delcy Rodríguez as Venezuela’s new oil minister, while she continues to act as vice president. https://t.co/6D4xZYkGHz
— Bloomberg (@business) August 27, 2024
Caracas, Moscow, Tehran All Turning to Crypto?
Maduro has urged his government to update its cryptocurrency policies, maybe anticipating this.
The announcement coincides with efforts by Maduro’s allies in Tehran and Moscow to investigate the application of cryptocurrency as a means of payment in global trade.
Vladimir Putin, the president of Russia, recently approved the use of cryptocurrencies in international trade.
Experts also claim that a few years ago, Iranian businesses started utilizing cryptocurrency as a means of payment in the trade industry.