Venezuela Uses Bitcoin to Circumvent U.S. Sanctions

Venezuela Uses Bitcoin to Circumvent U.S. Sanctions 1

In a bid to circumvent U.S. sanctions, the government of Venezuela has begun its first experiments with a program to convert tax revenue into bitcoin and trade it for fiat currency at foreign exchanges. 

The details of this plan were revealed in a report from the Spanish-language ABC International, which claimed that the Venezuelan government is currently only testing the project at the Maiquetía International Airport (IAIM). IAIM is the largest airport in Venezuela for international flights, and all international flights are required to pay a specific tax to the Venezuelan government. 

To maximize the productivity of this tax revenue, these taxes are run through an app using the Jetman Pay system, which uses a digital wallet to automatically convert these gains into bitcoin. The bitcoin is then traded at exchanges in various rival nations to the United States, such as Russia and China, for a steady influx of USD that international sanctions cannot touch.

The usage of bitcoin as a way to circumvent international sanctions is by no means a novel concept in the crypto space. The thoroughly sanctioned nation of Iran, for example, has become such a hotspot for mining operations that the government had to pass tariffs to discourage the practice’s impact on the power grid. 

Coinbase 3

Ordinary Venezuelan citizens have been employing bitcoin to circumvent sanctions for several years now, but the government’s scheme is a particularly unique case. Having launched an oil-backed cryptocurrency, the Petro, in 2018, this airport scheme is now an attempt to circumvent sanctions using the tried-and-true international reliability of bitcoin.

ABC International’s report mentioned that there are currently plans to expand this endeavor in two important ways. Not only is the Venezuelan government planning to expand this tax-to-bitcoin operation plan at all major airports in the country, but it is also set to use something similar for international flights attempting to refuel. Planes stopping at these airports nationwide will have to fill their tanks courtesy of the state-run oil company, which will also be plugged into this Jetman Pay app. 

With the value of the bolivar fluctuating so wildly, this will give the Venezuelan government a steady access to the world’s reserve fiat currency, regardless of what the United States government has to say on the matter.

Venezuela Uses Bitcoin to Circumvent U.S. Sanctions 2
About the author

E-Crypto News was developed to assist all cryptocurrency investors in developing profitable cryptocurrency portfolios through the provision of timely and much-needed information. Investments in cryptocurrency require a level of detail, sensitivity, and accuracy that isn’t required in any other market and as such, we’ve developed our databases to help fill in information gaps.

Related Posts

Leave a Reply

E-Crypto News Executive Interviews



bitcoin
Bitcoin (BTC) $ 33,469.00
ethereum
Ethereum (ETH) $ 1,952.11
tether
Tether (USDT) $ 1.00
binance-coin
Binance Coin (BNB) $ 292.55
cardano
Cardano (ADA) $ 1.23
dogecoin
Dogecoin (DOGE) $ 0.231952
xrp
XRP (XRP) $ 0.633666
usd-coin
USD Coin (USDC) $ 1.00
polkadot
Polkadot (DOT) $ 15.72
binance-usd
Binance USD (BUSD) $ 1.00
USD
EUR
GBP
bitcoinBitcoin (BTC)
$ 33,469.00
ethereumEthereum (ETH)
$ 1,952.11
tetherTether (USDT)
$ 1.00
bitcoin-cashBitcoin Cash (BCH)
$ 466.01
litecoinLitecoin (LTC)
$ 127.11
bitcoinBitcoin (BTC)
28.119,15
ethereumEthereum (ETH)
1.640,07
tetherTether (USDT)
0,840155
bitcoin-cashBitcoin Cash (BCH)
391,52
litecoinLitecoin (LTC)
106,79
bitcoinBitcoin (BTC)
24,065.72
ethereumEthereum (ETH)
1,403.65
tetherTether (USDT)
0.719045
bitcoin-cashBitcoin Cash (BCH)
335.08
litecoinLitecoin (LTC)
91.40

Automated trading with HaasBot Crypto Trading Bots

Crypto Scams

What Role Do Cryptocurrencies Play In The Era Of Ransomware Attacks?
June 9, 2021
Crypto Scams On The Rise As Market Enters Bull Cycle
Crypto Scams On The Rise As Market Enters Bull Cycle
December 22, 2020
Harpreet Singh Sahni perpetrated the Plus Gold Union Coin (PGUC) scam
Sydney Concert Promoter Harpreet Sahni Involved In $50M Crypto PGUC Scam
November 2, 2020
KuCoin hackers steal $150 million
KuCoin Exchange Hacked But Insurance Will Cover The Stolen $150M
September 29, 2020
Mining City insists that it is legit
Mining City Refutes Claims By Philippines SEC Of Being A Scam
September 23, 2020

Blockchain/Cryptocurrency Questions and Answers

What Is Plethori Platform And How Does It Work?
June 12, 2021
What Is The Fudge Token?
What Is The Fudge Token?
June 5, 2021
What Is Shiba Inu (SHIB) Cryptocurrency And How Does It Work?
What Is Shiba Inu (SHIB) Cryptocurrency And How Does It Work?
May 31, 2021
What Is PancakeSwap And How Does It Work?
What Is PancakeSwap And How Does It Work?
May 27, 2021
How Has Internet Computer (ICP) Become A Top-10 Crypto?
How did “Internet Computer Coin”(ICP) Become A Top-5 Crypto?
May 19, 2021


CryptoCurrencyUSDChange 1hChange 24hChange 7d
Bitcoin33,820 0.71 % 4.57 % 16.24 %
Ethereum1,971.9 0.89 % 5.95 % 23.01 %
Tether1.000 0.12 % 0.03 % 0.01 %
Binance Coin297.00 1.94 % 13.88 % 19.52 %
Cardano1.250 1.11 % 9.62 % 20.30 %
Dogecoin0.2367 0.61 % 25.66 % 26.41 %
XRP0.6407 0.94 % 16.41 % 26.57 %
USD Coin1.000 0.04 % 0.17 % 0.19 %
Polkadot15.89 0.90 % 9.08 % 34.13 %
Binance USD1.010 0.17 % 0.36 % 0.17 %

bitcoin
Bitcoin (BTC) $ 33,469.00
ethereum
Ethereum (ETH) $ 1,952.11
tether
Tether (USDT) $ 1.00
binance-coin
Binance Coin (BNB) $ 292.55
cardano
Cardano (ADA) $ 1.23
dogecoin
Dogecoin (DOGE) $ 0.231952
xrp
XRP (XRP) $ 0.633666
usd-coin
USD Coin (USDC) $ 1.00
polkadot
Polkadot (DOT) $ 15.72
binance-usd
Binance USD (BUSD) $ 1.00