The authorities in Venezuela have reportedly urged local bitcoin miners to temporarily halt operations while they investigate a major corruption scheme that could have drained up to $20 billion from the national oil and gas company – Petróleos de Venezuela.
The alleged scheme involves people who are part of President Maduro’s inner circle, including leaders of his political movement, Chavismo.
Large-scale BTC miners in Venezuela have been instructed to turn off their machines while the investigation takes place. It is estimated that between $3 billion and $20 billion are missing from Petróleos de Venezuela, which is a state-owned oil and natural gas company and the world’s fifth-largest exporter of hydrocarbons.
The Superintendencia Nacional de Criptoactivos (SUNACRIP) is at the center of the investigation, as it played a role in liquidating sales following US sanctions against the company. It is also one of the main institutions concerned with all types of energy usage and bitcoin mining.
Other cryptocurrency businesses, including exchanges and payment platforms with SUNACRIP licenses, have also been required to cease operations during the investigation.
The National Anticorruption Police have been inspecting domestic bitcoin mining firms to find any links between them and the corruption leaks in the energy sector. Law enforcement agents have also checked whether miners have the necessary authorization and up-to-date documentation to operate in the country.
Many of the licenses were issued by Joselit Ramírez, Chairman of SUNACRIP, and Rajiv Mosqueda, head of digital mining operations at SUNACRIP. Both men are currently under custody for allegedly participating in a scheme to steal from Venezuela’s energy affairs.
It is unknown when Venezuelan crypto entities can resume operations and how long the investigation will last. Some believe that President Maduro might restructure SUNACRIP or design a new regulatory agency from scratch.
The US Department of Justice has suggested that cryptocurrencies could have played a role in other illegal activities in Venezuela in the past few years. Homeland Security Investigations (HSI) claimed in 2020 that many high-ranked Venezuelan officials, including President Maduro, have acted as leaders of the notorious “Cartel of the Suns.”
The criminal organization is alleged to have abused locals and corrupted domestic institutions to facilitate the importation of massive quantities into the USA and employed digital assets to cover the transactions.
Attorney General William Barr has announced charges against Maduro and a number of high-ranking colleagues, alleging that they conspired with the FARC to cause tons of cocaine to enter and devastate American communities.
Today’s announcement is focused on rooting out the extensive corruption within the Venezuelan government – a system constructed and controlled to enrich those at the highest levels of the government. The United States will not allow these corrupt Venezuelan officials to use the US banking system to move their illicit proceeds from South America nor further their criminal schemes.
