Venezuela, known for the world’s largest oil reserves, is offering massive discounts on its oil prices to the Indian government. But there’s a twist. The discount is applicable only if the Indian government pays for this oil in Venezuela’s cryptocurrency, El Petro. Venezuela is promoting El Petro as the nation’s first digital currency, which is backed by crude oil reserves.
El Petro is world’s first state-backed digital currency which has tied up with Delhi-based exchange named Coinsecure. This digital currency exchange will now add Petro to its system. After this, El Petro can be traded against Indian Rupee, just like Bitcoin!
Venezuela is also making similar offers to multiple other countries all around the world in order to get over several economic crises that exist in the country at this point in time. The Venezuelan government plans to make El Petro as its official currency by the year 2020.
The deal made to the Indian government is simple- ‘You buy Petro and get oil at huge discounts on the price!’ In a scenario where the oil prices have reached $75 per barrel, a flat 30% discount on the prices can be an attractive deal! The only hurdle can be India’s disinterest in trading in cryptocurrencies.
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