It's just begun! Venezuela launches national oil-backed cryptovalut

Petro is supported by the country's oil, diamond, and gold reserves.

Venezuela's president, Nicolas Maduro, in a televised address, “has ordered the release of 100 million petros with the legal supply of certified and legalised oil wealth. Each petro will be equal to Venezuela's” oil barrel.

So the overall petros emissions will be estimated to be about $6 billion, reports “Sputnik International” Transmission Periscope.

In addition to oil, whose largest reserves are found in Venezuela and which account for about 95 per cent of export revenues, the petro is supported by gold and diamond reserves.

Maduro announced a goal to create a national cryptovalut in early December.

Blockchain technology is expected to help the South American country overcome a financial blockade imposed by the United States and facilitate the currency system.

The finance ministry highlighted the cryptomonedg's advantage of conducting financial transactions and seeking new funding options, as the country's financial currency, bolivari, has been on the run for two years.

In August, Washington struck the sweeping Karak sanctions, stopping American businesses from lending to Venezuela's government or state oil and gas company PVSA.

Meanwhile, Great Britain, it is said to provide a green light for the introduction of a national cryptovalut this year. The success of cryptomoda lies in transparency of their transactions. /Periscopi/