Petro Cryptocurrency: Four Reasons to Avoid It
Petro is the official Venezuela’s cryptocurrency. The pre-sale started on 20 February 2018 and had a huge success. The Petro’s sales have managed to make an income of over $ 735 million till today.
Petro cryptocurrency is called a successful project. However, there are a lot of critics who are convinced that the currency was created to fund the next election and to secure Nicolas Maduro a long standing position as head of Venezuela’s state.
Mellissa Marchand posted on her Twitter page on 20 February 2018 about four reasons why Petro cryptocurrency isn’t a good option to invest in. “To help its collapsing economy? Sorry to break it to you @CNNi but the #Petro is about 4 things: 1) money laundering 2) emptying what is left in Venezuelan public coffers 3) coming up with money to finance Maduro’s campaign and 4) circumventing sanctions against corrupt officials.”.
Here are our four reasons why you should avoid trading Petro cryptocurrency.
Petro hasn’t been created as other cryptocurrency
Usually, the first step after an ICO was launched is to design a token and start developing some ways of distributing it. You will be surprised, but none of the team developers has created and distributed Petro cryptocurrency.
A lot of users are skeptical related to the way Petro was organized. The currency’s team have promised that will design an additional main net. However, nobody trusts this statement.
Petro may show scams
There is no information that states what currency is actually Petro. The token was named a standard ERC-20. But things changed soon. The platform switched to the NEM network.
The Global Communications Director of NEM posted on the Twitter page aka Inside NEM that “1/ Regarding the Petro project, NEM is open source + hence any projects built on NEM are not under our control. To be clear, the NEM Foundation is not directly involved with this project and we’re not in a position to control any open source projects.”.
It may be illegal trading Petro tokens
Especially for US citizens, trading Petro cryptocurrency may be illegal, according to the set of sanctions for the United States of America. But it can ensnare European customers as well.
Cryptocurrency isn’t a magical element to solve political problems
It’s already known about a lot of countries that show a difficult political or financial period who have tried to solve their problems via the launching of a national cryptocurrency. The latest ones are being Turkey and Iran, who have announced these days about a possible involving in cryptocurrency trading.
There are numerous gossips that states about Venezuela’s President plans with Petro currency. However, we can’t assure about the further measures Venezuela will undertake.
Petro is still being a successful cryptocurrency. The sales are growing daily. We recommend you to inform in advance before any investment made in Petro tokens.