Paxful, a peer-to-peer exchange (P2P, person to person in Spanish), has informed its Venezuelan users today that any type of operations related to Petro, the Venezuelan state’s digital currency, are not permitted on its portal.
In the statement, the U.S.-based stock exchange mentioned this The company’s compliance team monitors user operations to ensure that no funds are received or sent between Paxful and an “exchange related to Petro”.
In the event that a user performs such an operation, the instruction warns that the account will be suspended and the Paxful team will still be able to report the transaction information to the relevant authorities.
From Cointelegraph we spoke to Magdiela Rivas, Paxful manager for Latin America, to understand the scope of the measure. In this context, he mentioned that “US-based company We must abide by that country’s regulations. This includes the sanctions imposed by the U.S. Treasury Department that contain an Venezuelan state institution or project, including petro and exchanges that support it“”
In conclusion, Rivas mentioned Paxful’s They would like to continue to offer services to Venezuelan users and accept various payment methods that do not violate the provisions applicable to the P2P portal.
This would not be the first time that Paxful has to face restrictions in the Venezuelan market to comply. As we’ve already reported on Cointelegraph, In June, the P2P portal informed its users that they would not allow any further transactions involving the Banco de Venezuela. This is because this banking company is sanctioned by the United States Department of Foreign Property Control (OFAC).
Reaction to the chain analysis report?
This new measure comes after Chainalysis, a forensic investigator in the blockchain, will publish a report on Criptolago, a Venezuelan-based exchange that is authorized to operate the petro.
The investigation indicated that the exchange could directly help the petro to be used to avoid sanctions against Nicolás Maduro and his power group. The research firm also found that compliance staff need to be updated to understand how “Venezuelan exchange interacts with the international cryptocurrency ecosystem.”
Despite the closeness of the data, Paxful did not mention in his statement or comments on Cointelegraph that there was a connection between the measure and the chain analysis report.