Venezuela to Sell Oil for Petro Cryptocurrency in 2019, Says Maduro

Venezuela's President Maduro has said the nation will sidestep the dollar and use its controversial petro token for oil sales next year.

AccessTimeIconDec 7, 2018 at 3:00 p.m. UTC
Updated Sep 13, 2021 at 8:39 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Venezuela's President Maduro has said the nation will sidestep the U.S. dollar and phase in use of its controversial petro token for oil sales starting next year.

According to a report from state-run media network TeleSUR on Thursday, Venezuela's President Maduro said that the move is aimed at minimizing the dollar's dominance in the industry and diversifying the global market.

Maduro was quoted as saying to the press:

"In 2019, we have a schedule for [oil] to be sold in petros and in this way continue to free us from a currency that the elite of Washington uses."

The president reportedly has a six-year financial plan to use the token to avert the crippling impact of U.S.-led sanctions on Venezuela's economy. The announcement of the plan – which involves setting up trading in the petro with a range of currencies – comes after a meeting earlier this week with Russian President Vladimir Putin in Moscow.

Maduro added that Russia is already trading oil and other products in Chinese yuan and that Venezuela would follow its example, "progressively" moving to sell all its oil products in petros.

Last month, Manuel Quevedo, Venezuela‘s minister of petroleum and the president of state-owned oil company PDVSA, announced that the country will present the petro to the Organization of the Petroleum Exporting Countries (OPEC) in 2019, as the “main digital currency backed by oil.”

The token was launched in pre-sale in February and Maduro has moved to integrate it into the fabric of the country's economy. Yet, even before launch, the country’s opposition-controlled congress called the petro illegal borrowing against the nation's reserves of oil.

Venezuela started selling petro to citizens in October via a government portal, saying the token must be used by those seeking to obtain passports. Venezueal's new national currency, the sovereign bolivar, was also pegged to the petro in July.

Editor's note: Statements have been translated from Spanish.

Petro sign image via Shutterstock 

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is an award-winning media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. In November 2023, CoinDesk was acquired by Bullish, a cryptocurrency exchange, which in turn is owned by Block.one, a firm with interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets including bitcoin and EOS. CoinDesk operates as an independent subsidiary, and an editorial committee, chaired by a former editor-in-chief of The Wall Street Journal, is being formed to support journalistic integrity.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.