Remittance platform for Venezuela’s Petro ready for use

The Petro goes against the ethos of cryptocurrencies as established by Satoshi Nakamoto, starting with its centralization. The Maduro-led socialist …

The cryptocurrency remittance platform for Venezuela’s national cryptocurrency, the Petro, is now ready for use, a senior government official announced recently. Patria Remesa, as the platform is known allows people to send money from abroad to Venezuela using the embattled Petro crypto.

Joselit Ramírez, the National Superintendent of Cryptoactives in the South American country made the announcement during a recent crypto-themed radio show he hosts for Radio Nacional de Venezuela. “This is the easiest and safest way to send money,” Ramirez stated.

Ramirez further praised the impact of the Petro cryptocurrency on the economy of the country. According to him, Petro is the only currency that protects the household income of the Venezuelans from the effects of economic depreciation. He stated:

The world is evolving, there is a new economic revolution that is coming to continue advancing in the country and contribute to the world economy. The traditional financial system is no longer enough. That’s why cryptocurrencies arrived to open their eyes to the economic world.

While Ramirez is right about cryptocurrencies overhauling the legacy financial system, Petro does little to solve the challenges faced by the Venezuelans. The Petro goes against the ethos of cryptocurrencies as established by Satoshi Nakamoto, starting with its centralization. The Maduro-led socialist government has the sole authority over the supply of the Petro, giving it the ability to use it to further its corrupt regime.

The Venezuelan government has run down the country’s economy and debased the country’s currency. Moreover, the country has been on the receiving end of sanctions from the U.S, Canada, Switzerland, France, the U.K, Australia and very many other governments.

This has made the Petro nothing more than the subject of ridicule the world over, purely viewed as just a cheap escape from international sanctions. Had Maduro been genuine about restoring the economic prosperity of the Venezuelans, he would have turned to a decentralized cryptocurrency that is accepted globally such as Bitcoin SV. With BSV, Venezuelans would have had a crypto that is not only fast and with low fees, but one that is also compliant with international standards.

Despite being a resounding failure, Maduro has continued to push the Petro, instructing the country’s leading bank to accept it last month. During an event held to celebrate Banco de Venezuela’s tenth anniversary, Maduro ordered the bank to open Petro desks in its branches countrywide.

Note: Tokens on the Bitcoin Core (SegWit) chain are referenced as SegWitCoin BTC coins. Altcoins, which value privacy, anonymity, and distance from government intervention, are referenced as dark coins.

Bitcoin Satoshi Vision (BSV) is today the only Bitcoin project that follows the original Satoshi Nakamoto whitepaper, and that follows the original Satoshi protocol and design. BSV is the only public blockchain that maintains the original vision for Bitcoin and will massively scale to become the world’s new money and enterprise blockchain.

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Venezuela’s largest retail chain: 1000 Bitcoin transactions and growing

Just how deep will Bitcoin adoption penetrate Latin America? … retail chain has already processed more than 1,000 Bitcoin transactions since March.

Just how deep will Bitcoin adoption penetrate Latin America? Venezuela’s largest retail chain, Traki, is convinced it’s only just getting started.

On Monday, the head of Traki’s cryptocurrency department, Michael Gomez, told Spanish-language industry publication Criptonoticias that the retail chain has already processed more than 1,000 Bitcoin transactions since March. And the department store isn’t stopping there.

Traki is perhaps Venezuela’s most important business involved in crypto. It was the first major Venezuelan retailer to accept cryptocurrencies as payment, as well as one of the first businesses to accept the state-run digital currency, the petro. And just last week, Traki announced a partnership with PundiX, which expanded the company’s ability to accept cryptocurrency as payment through point-of-sale systems.

Traki’s path thus far, however, has not been easy: “The adoption issue was a bit difficult because everything was manual [when we first started accepting crypto],” Gomez told Criptonoticias. “If it was a BTC transaction, it could take up to 45 minutes to make a payment, which was tedious [for the client].”

In order to accelerate these payments, Traki initially partnered with crypto-payment processor CryptoBuyer last March. Now with PundiX, the company claims that they can process a transaction in 0.05 seconds—which is even faster than some traditional payment methods.

And while Traki is beginning to experiment with other crypto-related business strategies, including a Lightning Network channel for internal use, Traki representative Diego Ortiz told Criptonoticias that infrastructure issues within the country are slowing down the company’s progress: “The Internet [connectivity] in Venezuela does not help.”

So even though merchants like Traki appear willing to push Bitcoin and cryptocurrency use throughout Venezuela, the limits to crypto adoption in the country may ultimately be determined by lingering political and economic issues.

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Venezuela’s Traki to offer cryptocurrency payments at 49 outlets

Forty-nine outlets of the largest departmental store in Venezuela will offer cryptocurrency payments using cryptocurrency cash registers offered by …

Forty-nine outlets of the largest departmental store in Venezuela will offer cryptocurrency payments using cryptocurrency cash registers offered by Singapore-based Pundi X, a blockchain-based payments solutions for retail businesses.

In its attempt to promote a potential alternative to one of the world’s least valued currencies Bolivar, Venezuela’s superstore operator, Traki, has announced its partnership with Pundi X on Aug 22, for offering cryptocurrency payment solutions to its customers.

The revolutionary point-of-sale device offered by Pundi X, called XPOS, will enable shoppers to buy any amount of merchandise from the store and pay for them using their cryptocurrencies. XPOS will support payment from Bitcoin, Binance’s BNB, Ether, along with Pundi X’s native tokens, NPXS and NPXSXEM.

Pundi X enables cryptocurrency payments in Venezuela

Pundi X’s futuristic devices are already prevalent in thirty other countries, and the organization has set an ambitious goal of selling at least 100,000 XPOS devices in the next two years. Part of the firm’s mission is to identify the real-time applications of cryptocurrencies and empowering customers by offering products that support the real-life uses.

Zac Cheah, Pundi X CEO, expresses his excitement over the fact that the firm has got an opportunity to set foot in the Venezuelan retail industry at such a large scale. He explains that the partnership aligns with the firm’s overall strategy, which is to get people to use cryptocurrencies for their everyday needs.

Cryptocurrency payments are the way forward for Venezuela

Traki’s Chief of Crypto Assets department, Michael Gomez, states that Traki seeks to provide the most user-oriented payment options. Following the hyperinflation in the country, cryptocurrencies have become a way of life. Thus, its adoption in the retail market was in the offing.

It is of no surprise that the dire economic situation of Venezuela has brought out the best and worst in technology. While on the one hand, President Maduro is promoting Petro coin to support the authoritarian regime and fight the US dollar dominance, on the other, cryptocurrencies are offering a glimpse of hope by emerging as a safe store of value and a payment option for necessities.

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Companies should consider possible taxes when operating with cryptocurrencies

Llovera has also dabbled in cryptocurrency advice, especially on how companies and individuals should address the tax aspects of their use.

I always say “Repeat after me, the Petro does not exist”, because the truth is that technically it does not exist. I saw it as a door, and I was telling my clients, to do interesting things because what the government did was open the door to all cryptocurrencies.

The problem was not mining, but tax evasion that was being done through cryptocurrencies. What helped the government’s action was to remove the illegality of cryptocurrencies and make them more understandable to the public. But the truth is that Petro as a cryptocurrency does not exist, it is not used daily.

Are cryptocurrencies suitable for payroll?
What we have done is to provide training to companies in the commercial use of cryptocurrencies. I think the use to pay employees is valid, as long as they understand that workers, finance people and accounting people should be trained to know how to keep track of these volatile assets. There may be gains, and there may be losses in the process. And since everything should be reflected in the financial statements, it has to be done in the most transparent way possible.
On the other hand, cryptocurrencies are an option to retain the employee’s relationship with the company, in addition to providing compensatory benefits on salary. This point is important, because companies are facing high costs for staff turnover and training, and they do not always get suitable candidates to fill vacancies.
At present, there is no additional benefit such as the basket ticket, for example, because hyperinflation is like an incendiary effect, I charged it today and I already burned it. What the employees themselves ask for is countable money, which they can use to acquire what they need, and that is provided by the cryptocurrencies
In addition, we must be keen with decree 35 on cryptocurrencies and foreign currencies of December 28, 2018, which states that when the tax base is invoiced in foreign currencies, a tax return must also be made in currencies Foreign.

How did cryptocurrencies influence their entrepreneurship?

We use cryptocurrencies daily at the firm. This has made it easier to pay the customers who use them already with confidence, which in our case are five customers. We also use them because our technology team developed an internal application that allows us to update the prices in our store using the alternative quote of bitcoin.

In my personal case, I use them as an alternative currency measure and that can be quietly settled into the U.S. account without any major problem.

Do you include them as part of advising companies and SMEs?

That’s up to the customer. I have some who work with technology and that for them is the most normal thing in the world. What I have seen in the firm, we who use cryptocurrencies on a regular basis, if people start using it massively, of course, we will include it in the advisory package.

The truth is that as a firm we give advice on what the client wants to do because we think it is important that we give the client tools to get around the tsunami of hyperinflation, that they understand them and can use them in their business. But we as a firm are trained because we have experience in the daily use of the tool.

What do you recommend to companies, for greater use of cryptocurrencies?

What I always say, commitment, order, and discipline. First commitment to change, understand how it will impact the buying process, billing, the cash flow cycle, that is very important, that the company knows its cash flow cycle, that it knows where its cost structure is, if its chain of providers accept bitcoin, or what bitcoin is wanted to use for.

This commitment also goes from training all the actors who will be involved in the process and training them in what falls within their responsibilities.

Second, organization. A disorganized company should not trade cryptocurrencies because by not understanding its cash flow, it will erroneously perform the most elementary activities. For example, if you bill in bitcoin and elude taxes, there are serious tax consequences. You have to keep an inventory of cryptocurrencies, even if it is not audited. The third requirement is discipline since once the respective methods and procedures are established, they must be strictly complied with.

What weight does it give to cryptocurrencies in current trading transactions?

I consider that the use of cryptocurrencies in Venezuela remains marginal against currencies such as the dollar, the euro, or even currencies of neighboring countries such as the Colombian peso or the Brazilian real, and is a small proportion or margin.

It’s still my customers who use them, but I don’t see a massive use. That that can change? Yes, it is feasible and especially in the light that some people have made unorthodox use of their offshore accounts, which happens is that they do not give a use to the account with the profile they have, has nothing to do with sanctions.

We have seen the business boom receiving cryptocurrencies, and yet, in many cases, the staff was not trained. It could happen to you that you arrived at the store that said it accepts bitcoin, for example, but when you said you were going to pay in cryptocurrency, then the employee didn’t know and you had to wait for the owner to arrive. In short, it was more of an advertising strategy than a reality.

I think that if cryptocurrencies can rise in popularity because of the advertising that has been given to it. Also, the fact that department stores like Traki are now going to receive them openly, through cryptocurrency sales points, can make more people join the use of these in their daily lives. In the industry, I find it more difficult because most have external auditors.

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PundiX’s Crypto Cash Registers Will Be Installed in 49 Retail Stores Across Venezuela

This is part of the firm’s plan to introduce cryptocurrencies for everyday use, through an ecosystem of financial products like its XPASS crypto debit …

Venezuela’s largest department store will install blockchain-enabled cash registers in its 49 retail outlets.

The megastore operator Traki announced August 22, it will integrate Singapore-based Pundi X’s point-of-sale device, XPOS, to offer a cryptocurrency payment rail for shoppers.

Already available in 30 countries, Pundi aims to sell 100,000 XPOS devices by 2021. This is part of the firm’s plan to introduce cryptocurrencies for everyday use, through an ecosystem of financial products like its XPASS crypto debit cards and Xwallet.

Related:Despite CEO Claims, Dash Isn’t Really the ‘Most Used’ Crypto in Venezuela

“We made the XPOS with the mission of creating real-life use cases for blockchain technology, and this couldn’t be better represented than Traki shoppers paying for their daily needs with cryptocurrency,” said Pundi X CEO, Zac Cheah.

Cheah continued to say that Traki has been an early adopter of blockchain technology in Venezuela.

“At Traki, we aspire to offer the most convenient options for our customers, and cryptocurrency has proven to be an effective payment solution,” said Michael Gomez, Chief of Crypto Assets department of Traki. Of Pundi’s near-300,000 wallet users, approximately one-tenth are based in Venezuela.

The XPOS payments system supports payments in a range of cryptocurrencies including BTC, ETH, Binance’s BNB stablecoin, as well as Pundi X’s own NPXS and NPXSXEM tokens.

Related:Samsung’s Galaxy S10 Adds Wallet App from Blockchain Phone Rival Pundi X

A period of hyperinflation and lack of liquidity has seen many Venezuelans adopt cryptocurrency as a store of value and payment option. Last year, President Nicolas Marduro launched the petro dollar cryptocurrency, pegged to the South American nation’s vast oil reserves, as a means to sidestep economic sanctions. Maduro recently ordered banks and state-owned companies to use the token.

Bitcoin, map photo via Shutterstock

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