- Venezuela still under sanction with over 18 million barrels of oil floating at sea
- Bitcoin (BTC) could be the solution to the revenue issues of Venezuela
- Venezuela could covert its oil to power Bitcoin mining
Bitcoin News Today – Since the emergence of Bitcoin (BTC), the digital currency has solved many issues. The digital currency has been adopted in several industries and spheres of life and its adoption and uses are still on the rise. BTC has solved issues from monetary policy mishandling to serving as the first decentralized store of wealth.
Nevertheless, the world’s most dominant digital currency could be a solution to the sanctioned and stuck-at-sea oil issue of Venezuela. Instead of floating at sear aimlessly, they could put the oil to much better use.
Bitcoin (BTC) Price Today – BTC / USD
More Than 18 Million Barrels of Venezuela’s Oil Is Floating at Sea
“Bitcoin is the answer.” This is a commonly used phrase, and many use it as a joke or sarcastically. However, Bitcoin truly solves many issues. The digital currency might provide a profitable solution to Venezuela. For some time now, the United States of America sanctioned many countries, and Venezuela happens to be one of them.
Recently, America has been applying pressure to the cash strapped Latin American country, trying to stop revenue flow to the regime. In an attempt to skate sanctions, President Nicolas Maduro launched “Pedro” – a digital currency backed by oil.
President Trump banned the digital currency in the US. Because of the condition in the oil market, as well as the sanctions, Venezuela has more than 18 million barrels of oil floating at sea. Due to the sanction, the country has not been able to monetize about two months of oil production. The demand for oil is very low and countries are scared of doing business with the Venezuela due to fear of US retaliation.
A few months back, the price of oil plunged to the negative zone because of the related storage costs associated with owning oil. Oil is one of the few commodities that can plunge below the 0 line. Nevertheless, it did not come as a surprise for many.
Oil Could Be Converted to Bitcoin
Instead of allowing the oil to float aimlessly at sea, it could be converted into diesel fuel. They can use diesel fuel to power turbines, which generate energy. Bitcoin mining cannot survive without energy, as energy is its major ingredient. This could be the solution to the revenue issue of the country.
They could put this oil to better use, rather than leaving it to float at sea. Using it to mine Bitcoin could be more profitable. The country is in urgent need of its monetary problems, and Bitcoin (BTC) is increasingly the answer. This solution would benefit both the government and the citizens.