Venezuela has been facing tremendous pressure from strict US sanctions and trade embargo. As a result, Venezuela has almost come down on its knees. Not only foreign investors but domestic investors as well have lost their trust in the current Maduro government. Considering international scenarios, the Maduro government has finally turned towards crypto and pushed its adoption to the edge. Previously, the government had opened various point of sale kiosk for crypto payment and even service that allows the foreign investors to buy Petro coin to increase the inflow of foreign currency. In an effort to promote Petro coin, they had once also offered India crude oil with half of the market price if India will pay in Petro coin.
Maduro government recently took another step towards promoting state-issued cryptocurrency. Venezuela government asked Banco de Venezuela including all of its branches should allow citizens to buy and sell El Petro, the state-issued cryptocurrency that he has always been optimistic about.
“I hereby order that every branch of Banco de Venezuela opens exchange desks so that everyone can transact with El Petro and start using it,” said Maduro on Wednesday.
“This is the new world where we can lead by example. We can do this from Venezuela. The world is looking at us,” he’d added.
Talking about the sanctions imposed by the US government and trade embargo on the country he said that: “Cryptocurrencies must be democratized against a backdrop of economic sanctions, block, and financial persecution.”
He didn’t stop at the country’s leading public sector bank but he also ordered all the private sector banks of the nation to adopt the state-backed El Petro and allow the customers to buy and sell it from their branches across the nation. This latest attempt comes after hearing about its all-weather ally Cuba. The Cuban government has recently announced that they have been studying the cryptocurrency and its potential to flourish the cracked economy of the country.
Previously, he focused on adopting El Petro several times but he failed miserably. In September last year, appeared on state television to announce that El Petro would be used in international transactions starting from October 1. However, the plan couldn’t take off and failed.
Maduro believes that cryptocurrencies can save the struggling economy of Venezuela from savage hyperinflation and trade embargo by the US government which left the country handicap as the imports of petroleum products went to the bottom. He believes El Petro could be the second official currency of Venezuela.