Venezuelan President Nicholas Maduro announced the launch of the El Petro crypto currency, secured by the country's oil, gas, gold and diamond reserves. El Petro will allow the country to overcome the financial blockade due to international sanctions

Crypto currency will allow Venezuela to attract financing from abroad

The crisis in Venezuela continues from 2014 onwards. The economic situation in the country deteriorated due to the fall in oil prices. Pressure was exerted also by US sanctions, which were imposed against Maduro and the state oil company Petroleos de Venezuela S.A. (PDVSA) in the summer of 2017. In the US, Maduro is accused of undermining democracy during the elections to the Constitutional Assembly. Economic measures of sanctions prohibit transactions with debt obligations and securities issued by the government of Venezuela and PVDSA.

In the fall of this year, Maduro said that Venezuela plans to create a world currency that will become an alternative to the US dollar. Then the authorities wanted to form a currency basket of several currencies, including the Russian ruble, the yuan, the yen, as well as the Indian rupee and the euro.