Thursday, December 28, 2017

Venezuela dedicates first set of oil reserves to back their Petro cryptocurrency

Whether it will be enough to stop the hemorrhaging of massive inflation within their sovereign currency remains to be seen, but on Dec. 28 the President of Venezuela announced the first dedicated oil reserves to be used to back their new Petro cryptocurrency.

Designating five billion barrels of oil as the initial reserves to back the Petro, President Maduro is hoping his gambit to ditch the dollar as well as create a new currency to replace the Bolivar will both save his economy, and perhaps even his political career.

The President of Venezuela Nicolas Maduro has promised to back the national cryptocurrency Petro with the country’s vast natural resource reserves. 
“Here’s the document formalizing the provision of the certified Ayacucho oil field No.1 in the Orinoco Petroleum Belt for the support of El Petro cryptocurrency,” Maduro said on national TV
Maduro said the field’s “reserves amount to five billion barrels of oil,”which is confirmed by the corresponding “international certificate.” 
“Every single Petro will be backed by a barrel of oil,” Maduro said, promising to provide cryptocurrency mining throughout the country. “We will set up a special team of cryptocurrency specialists so they will be engaged in mining in all states and municipalities of our country.” 
The Venezuelan leader has also promised to allocate Arco Minero gold deposits from the Orinoco Belt along with the country’s diamond deposits. – Russia Today

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