Copy link
Increase text size
Decrease text size
Link copied

Venezuela turns to cryptocurrency for domestic and global trade

Venezuela president Nicolas Maduro revealed plans of using cryptocurrency for its trade, a move aimed at going around U.S. sanctions.

Image by: Fernando Flores / Flickr

Mon, 05 Oct 2020, 06:10 am UTC

Venezuela ranked third in terms of cryptocurrency usage as people turned to digital coins to preserve their purchasing power amidst hyperinflation. Now, even its government is turning to cryptos to try to mitigate the effects of the economic sanctions imposed by the U.S.

Venezuela President Nicolas Maduro revealed that the country will be using cryptocurrency in both its global and domestic trade, The move is part of the nations’ efforts to neutralize the U.S. economic sanctions.

Maduro government’s decision on using cryptocurrency was revealed during a speech the president made in parliament on September 29, 2020. Maduro said that the move will “give new strength to the use of petro and other cryptocurrencies, national and global, in domestic and foreign trade.”

Maduro revealed that new financial instruments are in the offing. “The finance minister and Venezuela’s central bank have new instruments which we will activate very soon so that everyone can do banking transactions, as well as national and international payments through the central bank’s accounts,” the president said. “Venezuela is working within the cryptocurrency world.”

The plan to use cryptocurrency is aimed at spurring the nation’s social and economic development, which have been hampered by the U.S. sanctions. While Venezuela is the world’s sixth-largest oil producer, it has not been able to monetize on this resource as the sanctions place restrictions on its ability to do international trade.

Maduro’s government sees cryptocurrency as one of the options that might help it go around the restrictions. “Donald Trump and his sanctions are blocking Venezuela from carrying out transactions in any of the world’s banks,” Maduro said. “There’s other formulas to pay, and it’s what we’re using because our payment system works perfectly in China and Russia.”

The central bank of Venezuela is reportedly testing if it can hold cryptos such as Bitcoin (BTC) and Ethereum (ETH) in its reserves. According to a report by Bloomberg, the state-run oil firm Petroleos de Venezuela SA wants to send BTC and ETH to the central bank and is exploring the possibility of paying its suppliers with the cryptos.

TokenPost | [email protected]

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
  • delapaz
  • 2020.10.06 20:35:56
RECOVERY OF STOLEN BITCOIN RECOVERY OF LOST MONEY TO SCAMMER LEGIT RECOVERY EXPERT REFERRAL Have  you ever been a victim of a scam?  or have you lost your money to fake hackers online? I implore you to contact this trustworthy hacker and   recovery expert [email protected] , I was a victim of fake people posing as  binary options and bitcoin investors,  I lost a sum of $4,000 and 2BTC from my bitcoin wallet to these fakes. It took a while before I realized they were scams and this really hurt .Then an in-law of mine heard about it and recommended to me a specialist with the address -  [email protected]  . He helped me recover my lost bitcoins  in less than 72hrs  and the fakes were caught and made to pay for what they did to me .if you have lost any amount to online scams and you're seeking to recover loss from wallet hackers, fake hackers,  online dating scams,btc wallet hack,recovery of lost funds from fake binary investors  .Reach out to Quadhacked  to help you ,and you will be so glad you did so, best believe .

  • 0
  • ·
  • 0
  • delapaz
  • 2020.10.06 20:31:26
Comment deleted by user
  • 0
  • ·
  • 0
  • Johndig
  • 2020.10.05 21:49:48
Maybe I’m naive or a dreamer or just incredulous, I wish to believe what Maduro’s government is offering about Venezuela’s economy and that PDVSA finally pays to its contractors, with Bitcoin, with Etherum, whatever less Petros, nobody has credibility on Petros. One thing that is true is that U.S. sanctions have a huge effect on our economy. On the other hand, people’s hand, most young people invest in cryptos to generate additional incomes, coins like are being used to monetize projects and generate incomes.
  • 0
  • ·
  • 0
  • Bitcoin (BTC) $12,685.80 (+6.07%)
  • Ethereum (ETH) $391.99 (+5.83%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $257.73 (+6.09%)
  • Binance Coin (BNB) $29.93 (+3.82%)
  • Bitcoin (BTC) $12,685.80 (+6.07%)
Feb 21, 2020 (Friday)
Paxos launches blockchain-based securities settlement solution with Credit Suisse and Instinet
Brazil to launch new payment system in response to cryptocurrencies
Digital currency exchange Coinbase Pro lists Kyber Network token
Norwegian Air to soon start accepting crypto payments
Swedish central bank begins CBDC pilot with Accenture
Italian soccer team Juventus launches ethereum-based digital collectibles with Sorare
Feb 20, 2020 (Thursday)
Telecom companies complete cross-carrier mobile payments using blockchain
National Stock Exchange of Australia to develop DLT-based digital securities trading platform
South Korean ICO project discontinued, to return $7.5M to token holders
Samsung maintains crypto support in soon-to-launch Galaxy S20
BIS appoints Innovation Hub heads to lead Singapore and Switzerland
Coinbase becomes first crypto company to receive Visa principal membership
Dubai Economy and six banks launch KYC Blockchain Consortium
Crypto Technicals: ETH/USD under downside pressure after 'Bearish Engulfing' pattern
Tim Draper buys $1M worth of Aragon Tokens to create digital courts for DAOs
Renewable energy firm Acciona commits to take CBI’s blockchain-based carbon credits trading platform global
Crypto Technicals: BTC/USD trades below 21-EMA, break below 4H 200 MA (9386) to trigger further downside
Crypto exchange Coinfloor to launch a simplified bitcoin buying service
Indonesia’s customs department joins IBM- Maersk blockchain shipping platform “TradeLens”
Feb 19, 2020 (Wednesday)
Crypto custodian BitGo acquires digital securities startup Harbor
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.