A Deeper Dive On Venezuela's Petro Cryptocurrency

Altamira, La Castellana - Caracas, Venezuela

Parsing Venezuela & Its Petro Cryptocurrency Strategy

There is a lot of talk, both positive and negative, about Venezuela's new cryptocurrency, the Petro, and as a long time grassroots organizer I consider it very important that the public get a much more clear picture of what is actually happening in Venezuela, and with the Petro itself, in order to understand just why Venezuela has made its move into the crypto world. If you believe you understand what's happening in Venezuela based on the mainstream media, right wing media, and even National Public Radio or 'alternative media', read on, because you might be missing key aspects of the Venezuelan story.

Why The Petro?

The bottom line is that Venezuela is creating an oil backed cryptocurrency to fight back against, and work around, major economic attacks on its economy by the US (on behalf of big oil), the global neoliberal banking system, and local corporate oligarchs in Venezuela itself (see links below). All of these players are seeking to completely privatize Venezuela's economy so that they can loot it, get private corporate control of Venezuela's oil, and stop Venezuela from using its oil wealth to help free South America from US economic domination (a strategy which Venezuela has been pursuing successfully for the past 16 years).

What Venezuela is now wisely doing with crypto is a perfect example of using cryptocurrency exactly as intended, to get free from global fiat dollar domination.

How A Government Cryptocurrency Can Be Part Of Decentralization

Contrary to the average decentralizer's gut reaction that a government currency cannot be decentralizing, Venezuela's Petro will be quintessential decentralization and can serve as a key driver of global economic revolution from the bottom. If successful, the model of the Petro (because it completely evades global banks, and their fiat currencies and laws) will enable Venezuela and other nations to independently trade real money, goods, and services, in the real economy, directly between each other, with complete freedom from the domination of the global, neoliberal elite, fiat empire - which is collapsing from massive debt-based financialization, and is dominating and destroying the planet. This is precisely what bitcoin was designed to achieve, for both people, and nations.

Economic Warfare On Venezuela

For some background on the regime of economic warfare being hammered on Venezuela, search for the word 'sabotage' at the following Counterpunch link. Here is a key paragraph from the report:

“US imperialism and its allies domestically and internationally have been exacerbating Venezuela’s economic difficulties by attacking its international credit rating (making foreign loans increasingly expensive), by weakening the foreign exchange value of the national currency through purposeful speculation, and by withholding basic commodities needed by the people (but whose distribution is still controlled by private monopolies), such as milk, coffee, rice, oil and basic necessities like toilet paper, toothpaste and medicines.”

https://www.counterpunch.org/2017/08/11/venezuela-target-of-economic-warfare

US Dollar Based Economic Warfare On The World Through "Economic Hit Men"

Here is the link to an important short video presentation by former US "Economic Hit Man" John Perkins, which shows how the US has historically used extortion and violence to force economic dollar imperialism on other countries (most prominently in South America). It will give viewers a scope on how the US is likely to react in stages after Venezuela's Petro goes public. (Note: The US has already tried these tricks and failed in the past with Venezuela - so there is a good chance that Venezuela will win out in the end.)

Is Venezuela A Democracy Or A Dictatorship?

Contrary to what almost every mainstream or alternative news source has reported, Venezuela is a democracy and its president Nicolás Maduro (like his predecessor Hugo Chávez) was elected by a majority, in internationally observed elections. Here are quotes from election observer and former US President Jimmy Carter on behalf of the Carter Center:

"Of the 92 elections that we've monitored, I would say that the election process in Venezuela is the best in the world." And: "Maduro did get 1.5 percent more votes than his opponent."

To get an excellent in depth assessment of Venezuelan elections see the following report from Counterpunch on the most recent democratic electoral victory of Maduro's Chavismo movement:

https://www.counterpunch.org/2017/10/20/venezuela-regional-elections-chavismo-in-triumph-opposition-in-disarray-and-media-in-denial

From Democratic Elections, To Democratic Global Exchange Through A Crypto Revolution

Venezuela's Petro is a classic case of cryptocurrency being used exactly as its creators intended - to escape the centralized dominance and control of the global neoliberal finance capitalist oligarchy. If Venezuela (and other nations now following its lead like Iran and Turkey) successfully pursue this strategy of creating state cryptocurrencies independent of US dollar domination, it will be a powerful validation and reinforcement of the incredible democratizing power of cryptocurrency.

Eric Brooks
Grassroots Organizer
San Francisco, California