July 21, 2024

Venezuelan Central Bank is exploring the possibility of adding Bitcoin and Ethereum to the country's reserves

Venezuelan Central Bank is exploring the possibility of adding Bitcoin and Ethereum to the country's reserves

The Central Bank of Venezuela is experimenting with the possibility of adding cryptocurrencies, inparticularly Bitcoin and Ethereum, into their international reserves. Bloomberg writes about this.

The experiment was carried out at the request of Petroleos deVenezuela SA (PDVSA), a state-owned oil and gas company. PDVSA believes that the Venezuelan central bank will be able to settle payments with suppliers in Bitcoin and Ethereum.

Due to US sanctions, PDVSA has facedchallenging times as major banks avoid opening business channels with the company. According to the publication, PDVSA did not specify how it managed to obtain Bitcoin and Ethereum, as well as the cost of capital in cryptocurrency.

Recall that in 2018 the government of Venezuelalaunched the state-owned cryptocurrency Petro, backed by the country's oil reserves. Since then, country officials have launched a number of platforms to stimulate the use of state digital currency.