“Petro” Cryptocurrency Backed By Venezuela with 5.3 Billion Barrels of Oil

Announcements, Blockchain, News | January 2, 2018 By:

Venezuelan president Nicolas Maduro recently announced that the country’s “Petro” cryptocurrency will launch within the next few days. He said it will be backed by 5.3 billion barrels of oil worth $267 billion.

The Petro cryptocurrency was first announced at the beginning of December to help combat the US’ “blockade” against the country. It will enable Venezuela to advance in monetary sovereignty and carry out its transactions to overcome the financial blockade. Soon after the announcement, the president signed a decree for the creation of the Superintendence of El Petro Cryptocurrency to govern the direction of the cryptocurrency from Venezuela and the world.

Last week, Maduro said that the five billion barrels of oil reserves at the Ayacucho block 1 in Venezuela’s Orinoco Belt will back the cryptocurrency. Every single Petro will be backed by a barrel of oil. The government will also set up a special team of cryptocurrency specialists so they will be engaged in mining in all states and municipalities of the country.

In addition, the president promised to allocate Arco Minero gold deposits from the Orinoco Belt, along with the country’s diamond deposits.

“We are facing a financial war against the country which we have denounced and the opposition has denied,” said Maduro. “There are business people who are unaffected by Donald Trump’s blockade. With this, we will join the 21st century.”

Venezuela is in a severe financial crisis. The country’s currency, the Bolivar, has been rendered basically worthless by the country almost running out of cash. The currency has lost 96% of its value last year.