Which leads to more questions:
(0) The purpose of Bitcoin, and by extension blockchain-based currencies, is "an electronic payment system based on cryptographic proof instead of trust, allowing any two willing parties to transact directly with each other without the need for a trusted third party" (Nakamoto, 1998). Third parties such as payment processors and governments. How does the Venezuela petro relate to this purpose?
(1) Bitcoin, Etherium mining is continuous to process transactions. Each time a transaction clears, there is some mining required, as the blockchain is changed. In contrast, this indicated that the "petro" was "pre-mined" by the Venezuelan government. How is petro BOTH a cryptocurrency based on blockchain AND "pre-mined"?
(2) What is the process for redeeming petro in barrels of oil? How is the currency "backed" by oil?
https://www.aljazeera.com/news/2018/02/venezuela-petro-crypt...
Which leads to more questions: (0) The purpose of Bitcoin, and by extension blockchain-based currencies, is "an electronic payment system based on cryptographic proof instead of trust, allowing any two willing parties to transact directly with each other without the need for a trusted third party" (Nakamoto, 1998). Third parties such as payment processors and governments. How does the Venezuela petro relate to this purpose?
(1) Bitcoin, Etherium mining is continuous to process transactions. Each time a transaction clears, there is some mining required, as the blockchain is changed. In contrast, this indicated that the "petro" was "pre-mined" by the Venezuelan government. How is petro BOTH a cryptocurrency based on blockchain AND "pre-mined"?
(2) What is the process for redeeming petro in barrels of oil? How is the currency "backed" by oil?