{"id":428645,"date":"2020-06-26T18:30:06","date_gmt":"2020-06-26T18:30:06","guid":{"rendered":"https:\/\/uniquehot.com\/?p=428645"},"modified":"2024-06-11T14:04:26","modified_gmt":"2024-06-11T14:04:26","slug":"bitcoin-is-answer-venezuela-oil","status":"publish","type":"post","link":"https:\/\/uniquehot.com\/news\/bitcoin-is-answer-venezuela-oil\/","title":{"rendered":"How Bitcoin is The Answer To Venezuela\u2019s Stuck-At-Sea Oil Supply"},"content":{"rendered":"

Bitcoin solves many problems<\/a>, from monetary policy mishandling to acting as the first decentralized store of wealth.<\/p>\n

But could it also be a solution to Venezuela’s sanctioned and stuck-at-sea oil problem? Rather than aimlessly floating at sea, the oil could be put to much better use.<\/p>\n

Venezuela Has Over 18 Million Barrels Of Sanctioned Oil Floating At Sea<\/h2>\n
It’s a phrase used so often, it is commonly used sarcastically or as a joke: Bitcoin is the answer<\/a>.<\/p>\n
But the first-ever cryptocurrency truly solves many problems. It also may provide a profitable solution for the cash strapped Latin American country of Venezuela.<\/p>\n
Venezuela is one of many countries under strict sanctions from the United States. The US has been applying pressure to the country recently, seeking to cut off revenue flow to the regime.<\/p>\n
President Nicol\u00e1s Maduro launched a cryptocurrency backed by oil<\/a>, the petro, in an attempt to skate sanctions. Trump banned the cryptocurrency in the United States.<\/p>\n
Related Reading | Cryptocurrency Community Explodes In Chatter Over Oil and Stocks\u00a0<\/a><\/strong><\/em><\/p>\n
Due to the sanctions, and conditions in the oil market, Venezuela has over 18 million barrels of oil<\/a> just floating at sea.<\/p>\n
This amounts to roughly two months of production in the country, unable to be monetized due to sanctions.<\/p>\n
Countries won’t do business with Venezuela over the fear of US retaliation, and the demand for oil is weak.<\/p>\n
Months ago, oil fell to negative prices<\/a> due to the related storage costs associated with owning the commodity.<\/p>\n
It is one of the few assets that can trade at negative pricing. However, few ever expected it to do so.<\/p>\n
\n
Exporting oil was inefficient<\/p>\n
Now it\u2019s simply ridiculous<\/p>\n
Venezuela must start exploiting its resources internally<\/p>\n
Just refine that oil into diesel, use diesel to generate energy with our vast gas turbine infrastructure and create money out of that energy with $btc<\/a> mining farms https:\/\/t.co\/XdZCtQ5rUf<\/a><\/p>\n
— Beachain (@beachainbtc) June 26, 2020<\/a><\/p><\/blockquote>\n