Dubbed Petro, Venezuela’s cryptocurrency was touted as a way to bypass U.S. sanctions while battling inflation. The government under President Nicolas Maduro has tried to foster Petro adoption, with the latest efforts being the addition of Petro as a means to collect taxes.
According to an announcement from the Venezuelan government, the Bolivian Council of Mayors has agreed upon the so-called “National Tax Harmonization Agreement” for 305 municipalities in the nation to add Petro (PTR) as a valid currency for tax collection.
Delcy Rodriguez, the vice president of Venezuela, will oversee the implementation of a single registry for taxpayers via a digital consultation tool, while also developing an information exchange and monitoring system for companies to record PTR payments
In Venezuela, there are 335 mayors, with 91% of them under the mandate of the United Socialist Party of Venezuela, PSUV. Only 30 mayors are led by opponents of the regime of Nicolás Maduro.
The municipal governments that aren’t supporting the moves made by the Maduro government are continuing to collect taxes via Bolívar, as many areas do not have the appropriate technology to process Petro payments.
Vice President Rodríguez commented on the matter:
“It is the simplification of procedures, making the State’s administrative activity at the service of the people more efficient, of the economic sectors that stimulate economic activity in the productive and commercial areas, framed in this week of flexibility that began on Monday.”
Growing Petro adoption
Despite the political clash and a poor start, PTR is being widely used as a result of the reigning government’s efforts to promote the currency.
One of the instances of Petro’s growing adoption came with the government announcing that almost 15% of all fuel payments at petrol stations across the country were made using the Petro (PTR).
As The Daily Chain reported earlier, the Venezuelan government authorized the launch of a gaming casino hotel in Venezuela’s capital, where all stakes must be placed in Petro. Different cryptos and fiat currencies can be exchanged into Petros to wager at the casino.
President Maduro said during a joint radio and television broadcast:
“In the Hotel Humboldt, there will be an international casino, and everyone who wants to bet will bet with Petros, all those resources will enter the state for health and education.”