Even as the Venezuelan government continuously putting in efforts to position Petro as an internationally recognized cryptocurrency, Petro, the national cryptocurrency of Venezuela hasn’t been that well received by many. Next in line of their announcements the government plans to propose the token to OPEC in 2019, as the leading oil-backed digital currency.
PDVSA, the state company in charge of the country’s oil production, published a tweet on their official account that quotes Minister Manuel Quevedo as he explains the strategic benefits that Petro will have and the country’s determination to position it as a common means of payment accepted by OPEC member countries:
“We will be taking Petro to OPEC in 2019, as the leading oil-backed digital currency.”
Petro as Legal Tender
Since its initial announcement, Petro had to face a backlash. In order to present the necessary conditions for successful adoption, the Venezuelan government has been working on the legal framework, changing the technological aspects, promoting private investment etc..
Theoretically, Petro is already available with verifiable movements in the block explorer but it still can’t be exchanged for fiat money, and there is no possibility of trading with the token. This has further aggravated the skepticism and negativism around the token.
Venezuela has had declared its willingness to involve Petro as a mode of payment at a transnational level, which did not as per their plans as Petro’s launch observed a series of delays. According to an article published by the Venezuelan newspaper Panorama, the Venezuela’s President, Nicolás Maduro, announced in February that he had already ordered Mr. Quevedo to coordinate the necessary actions so that Petro could be used in OPEC as a means of exchange.
“I appointed the Minister of Petroleum and President of PDVSA (Petróleos de Venezuela), Manuel Quevedo, to work intensely with the General Secretariat of OPEC, in all steps, one by one, to ensure the functioning of Petro, Venezuelan cryptocurrency,” he said at the Miraflores Palace where he met with the General Secretary of OPEC, Mohammed Barkindo.”
According to the Chinese news portal Xinhua Net, “the initiative to do this was requested by the organization’s secretary general and the presentation will happen during the first half of 2019”.