El Petro, a cryptocurrency that finds its home in the tropical South American country of Venezuela can now be purchased using Russian rubles, in addition to a variety of other fiat currencies. Plans to release the Petro cryptocurrency were initially announced by the nations President, Nicholas Maduro.
Venezuela welcomes other nations welcome with open arms.
In addition to the Russian ruble being accepted, currencies from the EU, China, and Turkey will also be accepted starting March 23. Cryptocurrencies like Bitcoin and Ethereum will also be paired with the Petro of course.
The Petro recently completed its Pre-Sale, which saw participation from over 133 countries and 201,000 direct transactions. Maduro also claims that businesses from Ecuador, Chile, Germany, Turkey, Mexico, Spain, Argentina, Russia, and even the United States expressed interest in the nationwide crypto project.
So, it should come as no surprise that during the Petro Pre-Sale, orders totaled more than $5 billion. It’s also worth noting that Donald Trump, recently prohibited United States citizens from participating in Petro related transactions.
Venezuelan Bolivar Denominated.
Maduro announced his decision to denominate the national Venezuelan currency, the Bolivar, in an attempt to enhance the country’s economic stability. A currency which has been suffering from hyperinflation for quite some time now. It’s worth noting that at the moment, 1 USD equates to around 230,000 Bolivars.
More government backed cryptocurrencies in the future?
Aside from the Venezuelan Petro cryptocurrency, other government bodies have explored the possibility of issuing federally backed cryptocurrencies. For example, the Russian cryptoruble, and the Canadian Central Banks coin.
Whether or not the Petro actually becomes a success remains to be seen. However, it is certainly interesting to witness how certain nations are pursuing their own digital assets. How will this effect established financial institutions in the long run?