Can_You_Mine_Petro_

Can You Mine Petro

Petro the cryptocurrency invented by the Venezuelan government to get out of its financial crisis has been marred into controversy from the start.

The altcoin was announced by the government in December 2017 and was supposed to be backed by oil and mineral reserves. The digital currency was introduced to end the financial woes, prevent US sanctions and get access to international financing.

There is not much clarity over the working process, as the white paper itself has been a topic of debate and raging controversy. Earlier it was announced that the currency will be based on Ethereum network, however, on the day of launch the White paper itself was changed and the new white paper states that it is based on NEM network.

There are multiple white papers on the web in different languages with contradictory information.

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Is Petro Mineable?

Any cryptocurrency making use of Proof of Work consensus is mineable, however, when it comes to Petro there is not much clarity on any aspect of the cryptocurrency.

The Petro’s pre-sale started on Feb 20, 2018, and ended on March 18, 2018, and a total of 38.4 million tokens were made available during the pre-sale, raising a total of $3.3 billion dollars. However, there were no independent audits to verify the claims.

The Venezuelan government claims that the prices of Petro would be balanced against its oil, mineral, gold and diamond reserves, however, there is no specific methodology in the white paper.

The other claims which cannot be verified include the help of Russian government in devising the Petro to nullify US sanctions. The ministry also claims that the US president Putin was himself involved in the process.

On October 1, 2018, the X11 algorithm based design, making another u-turn and increasing the amount vague information floating around the Petro.

In absence of any clear information regarding any aspect of the currency, it is quite difficult to assert or find any way in which the Petro can be mined. Not only that, the US government has recently put sanctions over the cryptocurrency as well. This might be a dead end and prolong financial crisis for the Venezuelan people.

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Petro has Every Element Of A Scam In Making

The Venezuelan government’s crisis could prolong for some time as its recent efforts to contain its financial woes through cryptocurrency Petro is on the verge of becoming a scam. The crypto asset has every element of a potential scam. There is no clear indication of its working, nothing about the technology, whether its based on the Distributed ledger Technology of Blockchain Technology and no means to verify any claims.

The vagueness around the Petro encouraged many scamsters to form different Petros of their own. However, the actual Petro crypto was so bad that the scamsters could not pull the scam. Imagine a product which is so bad, that the scamasters are not able to gain anything out of it.

You May Also Read: Should You Invest In Petro?

Conclusion

It’s only a matter of time before the sham around the Petro makes headlines, whether the Venezuelan government would itself admit to the blunder or any other source break it to the world, only time would tell.

However, if you have any plans for making any kind of investment even for the sake of it, we would recommend you to save the money. Mining would be only possible if there is an evident proof of the tech used behind the crypto, but in absence of any valid information from the government and other authorities, it’s hard to zero on any idea or consensus that the P{etro might be using and whether that consensus allows mining.

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