The Easy Manual To Understand Venezuela's Petro-Crypto Currency
Many times there is the temptation to compare banks with cryptocurrencies, in principle because the idea of the bank is quite assumed; The ecosystem based on ATMs, cards, Internet services, transfers, accounts, agencies, loans and trusts is part of the routine of a large percentage of the population.
Petro is a cryptoactive that will have internal circulation as a means of payment, the State has agreed to accept it in the payment of taxes within the country to encourage its use in regular commercial activities. In this sense it is expected that the Petro coexists with the bolivar and can exchange bolivars for Petros in Internet exchange houses, as well as convert Petros to bolivars.
It remains to be seen at what exchange rate the exchange between Petros and Bolivars will be made. On this will depend the economic future of Venezuela, since it is a millimeter operation that will seek to remove the illegal exchange reference of the Dollar Today.
By operating as a means of payment, the Petro needs a means to be transported, as well as cash or a debit card can be taken to any trade. In this sense there is much fear of needing the purchase of a smartphone to be able to use the Petros on the street, but this is not strictly necessary thanks to the "Keys" that use the "Wallets" of all the cryptocurrencies. These "Keys" can be transported written on a paper, as they can also be printed in the form of a QR code in the best style of the "Carnet de la Patria".
As explained above, "Portfolio" is the utility used to receive and send Petros. The “Portfolio” is not an account in a bank, but is more like keeping the money in a personal safe. This safe has two keys and a password: the “Private Key”, the "Public Key" and the personal password.
The "Private Key" must not be shared, it is the most sensitive part of the “Portfolio”. If it is copied by someone, you will only have to find the personal password and you will already own the Petros stored there. Despite being a long and difficult code to be copied by hand, QR codes are often used to represent them. These are likely to be photographed and thus "stolen". We must take precautions so that this code can not be seen by other people.
The "Public Key" is the address that can be shared in order to receive payments from other people. It comes to function as a traditional account number, and like the "Private Key", it has the ability to be represented in a QR code. If someone needs to make a payment, you can scan this code with your phone or camera computer, place the amount in Petros and accept the transaction.
The personal password is a key that can be quite long compared to the four numeric digits of a debit card. This key is used to open the "Portfolio" in conjunction with the "Private Key".
Taking into account these three elements, it is possible that a person, knowing the price of a product they need to buy, before leaving their home can create a new "Portfolio" and then transfer the amount of Petros that they will spend on said product. What you need later is to write down, print or copy on a flash drive the "Keys" of the "Portfolio" that you just created and deliver them to the cashier when paying with your respective password. The cashier, upon receiving the paper or the digital file, opens it with the provided password and passes those funds to the "Portfolio" of the store using a simple smartphone or a camera computer. This "Portfolio" would serve as a kind of management check, with the benefit that it is done at home in a few minutes with modest equipment and any Internet connection however slow it may be.
It might seem that creating a "Portfolio" for a single operation is a waste, but in the world of cryptocurrencies this is quite common. The "Portfolios" are usually used for few operations and are discarded, although they can still be used for those who keep the keys and the password. A "Portfolio" can be created in two minutes and the number of "Portfolios" that can exist is an unreachable number, so if a person in the course of his life opens a thousand "Portfolios" of Petros, it would still be very little for the network capacity.
On the other hand there are "Wallets" that are used to save. These are normally used for years because they have large quantities that it is not convenient to handle in public. They work like vaults, and these are the ones that need greater care when safeguarding their data and it is recommended to make transactions only with phones or personal computers.
The "Portfolios" are the most used part, but there are also other elements in this network that are equally important for its operation, such as the mechanisms for checking transactions and the sites where all the details about each operation made within the network are stored. the "Chain of Blocks" of the Petro. Knowing or not about this part is not necessary for the use of Petro as a national or international payment method, besides the details of how such checks will be made are still to be detailed.
The acquisition of Petros also generates many expectations and doubts among people. So far the Pre-sale process has had a good reception by the interested parties, as President Nicolás Maduro said yesterday, giving a detail of the number of offers completed and also the percentage of currencies and cryptocurrencies that have been committed to the purchase of Petros, a week after its opening. The offers amount to 171 thousand, composed of 40.8% in dollars, 6.5% in euros and finally 38.3% in Bitcoins and 18.4% in Ether, the two cryptocurrencies accepted in the Presale.
To participate in the Presale, just follow the instructions on the page. In some cases the process may take several days because checks are made and three communications must be received by mail before having the payment commitment form with which the willingness to bid is formalized. At this time there are no transfers to foreign currency accounts or transactions in Bitcoin or Ether portfolios. The intention of the Presale is to conduct a survey to assess the confidence generated by Petro and guarantee the demand once the Initial Offer begins in a few weeks. We must be alert to scams, at this time no one should make transfers to any account or "Portfolio" for the purchase of Petros. The only valid information is on Petro's official website.
The stabilization of the national economy is not a magical process, the bases of the recovery are sitting with the creation of the Petro, but internally we will have to be attentive to the attacks that the measure will surely receive, as well as trying to be more aware of how to use and protect Petros and Menes that have been acquired.
Translated by Paul Antonopoulos.