Venezuelan Government Paying Pensions in Petros: Price Rises Again

The Venezuelan government has converted old age pensions into Petro, the nation-backed cryptocurrency.

The news was reported yesterday by Caracas Chronicles, a group blog focused on Venezuelan politics and economics.

Elderly Venezuelans are accustomed to receiving a message every time a government pension arrives. However, on December 7, they received two messages:

“MOTHERLAND WALLET: CREDIT for an amount of Bs.S. 1,800.00 for the concept of Elderly Love Pensions (Third month Christmas bonus 2018) on 12/07/2018

MOTHERLAND WALLET: DEBIT for an amount of Bs.S. 1,800.00 for the concept of Savings in Petro on 12/07/2018”

This indicates that the pension money came but was immediately cashed out for “Savings in Petro”.

Pensions in Petros

President Nicolas Maduro had already announced in August that salaries and pensions would be paid out in Petros. Regardless, this did not prevent many elderly citizens from feeling wronged and confused, as this was all done without their knowledge or consent.

For months now, the government has attributed pensions and bonuses through the carnet de la patria system. The process starts with people receiving a message, they then visit and through the website transfer the money back to their bank accounts.

The Patria website is now showing a new “Savings Plan” option, allowing people to save money by converting it into Petro, and an option to integrate the Petro Wallet with the Patria Wallet. The government is working on ways to have people spend money through the website, without having to withdraw it to the bank. The government wants as much money as possible circulating in Petros and in the carnet de la patria system.

However, despite having been officially launched three times now, no one has been able to use Petro yet. What's more, the option to convert Petros back to bolivars is so buried between menu options that a guide was created to help people sort it out.

The process of Petro’s development and implementation has been turbulent to say the least. Non-functioning wallets, whitepaper inconsistencies (dash clone accusation), lack of information about development, and dubious crowdfunding numbers ($5 million), are just some of the faults pointed out in the project.

The Price of the Petro

The Caracas Chronicles was quick to note that, according to information on the official Petro website, the value of Petro has increased to 15,000 Soreveign Bolivars (BsS).

This is already the second time in 2 weeks that Nicolas Maduro increases the price of the Petro, previously rising from 3,600 BsS to 9,000 BsS as reported by Cryptoglobe. Petros legitimacy as a cryptocurrency is being questioned by many. Seeing as its price is set by a central authority, instead of market supply and demand, petro resembles more a debt title than a cryptocurrency.

TRON Foundation Announces $20 Million TRX Buyback to Promote Market Stability

The TRON Foundation, an organization created to support the development of the TRON network, has recently announced a $20 million TRX token buyback that’s set to “promote community activity and market stability.”

According to a Medium blog post, the TRX buyback will be “by far the largest” token buyback plan the Foundation has ever had, and will have “the widest coverage in the secondary market.” The buyback is set to last for a year and will have several batches.

The TRON Foundation’s TRX holdings, it added, will be unlocked on January 1 of 2020, although the organization has no plans for its TRX at the time. Currently, one TRX token is trading at $0.034 after falling 10.6% in the last 24-hour period.

The token’s price dropped amid a major market sell-off that has seen the price of some altcoins – including Litecoin, EOS, and XRP – drop by well over 10%. The price of BTC is currently down 5.4% in said period. The selloff is likely being caused by traders taking profits off of the bull run we’ve been seeing since the beginning of the year.

Earlier this year, TRON announced a soon-to-be-released upgrade for its blockchain, called Odyssey 3.6. It’ll reportedly include features that are set to improve the network’s security and stability.

As CryptoGlobe covered, in May of this year the TRON Foundation announced BitTorrent, a leading peer-to-peer file sharing platform, would be incorporating the BitTorrent File System (BTFS) protocol to “allow users to receive and host storage on their computers with other individuals and businesses.”

The TRON Foundation has recently celebrated its Independence Day, as on June 25, 2018 the TRON mainnet was launched and its genesis block was created. Since then, the network has grown to over 3.1 million mainnet addresses, and an average of 1.5 million transactions per day, according to Justin Sun.