Venezuela’s Maduro: Airlines Must Use Petros to Pay for Fuel

Venezuela’s Maduro: Airlines Must Use Petros to Pay for Fuel 1

Venezuelan President Nicolas Maduro has declared all flights out of the country must use the oil-backed petro cryptocurrency to pay for fuel.

In his annual speech to the Venezuelan Constituent Assembly, Maduro announced the state-owned oil company, PDVSA, would only accept petro for fuel sold to airlines. “I decree the sale of all fuel sold by the PDVSA for planes operating international routes be made in petros from now on,” he said.

It’s uncertain whether the new restrictions apply exclusively to the capital’s Simón Bolívar International Airport, or whether airlines flying from other airports in the country will be targeted, too. Similarly, it’s not clear if the rules will only apply to Venezuelan airlines or include international carriers.

Airlines will be able to purchase fuel using a PetroCard that can convert international currencies, including the U.S. dollar, into petro for payment.

“[W]e are opening roads to the new economy. We are building a world for the peace and integration of peoples, their happiness and improvement,” he said.  

In his speech, Maduro also declared that government authorities would only accept the petro for document service fees, including passport applications.

Cryptocurrencies are popular in Venezuela, a country where years of hyperinflation have rendered the national bolívar practically worthless. When the government announced it was launching a cryptocurrency backed by the country’s vast oil reserves, it hoped the petro could become a new means of payment to help businesses bypass U.S.-imposed sanctions.

But the government has so far struggled to push adoption. Despite Maduro’s hopes to make it as widespread as the bolívar, the government said in November that only 400 businesses in the country accepted the petro. In December, he offered public-sector workers, pensioners and soldiers a $30 holiday bonus – in a country where the minimum wage is under $10 a month – for signing up to the state-backed cryptocurrency wallet and payments platform PetroApp.

Maduro previously ordered PDVSA to convert a percentage of its sales and purchases into the petro in early 2018. During Tuesday’s speech, the president ordered the company to immediately sell 4.5 million barrels of oil in exchange for the cryptocurrency and from then on to sell a minimum of 50,000 barrels per day as an “exploration mechanism” to sound out industry interest.

Disclosure Read More

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

About the author

E-Crypto News was developed to assist all cryptocurrency investors in developing profitable cryptocurrency portfolios through the provision of timely and much-needed information. Investments in cryptocurrency require a level of detail, sensitivity, and accuracy that isn’t required in any other market and as such, we’ve developed our databases to help fill in information gaps.

Related Posts

E-Crypto News Executive Interviews

Automated trading with HaasBot Crypto Trading Bots

Crypto Scams

Millions in Cryptocurrency Stolen by Scammers in the Last Month According to Tenable Research
November 24, 2021
Behind The Scenes: How this Crypto Community Responded to + $50m Hack
October 18, 2021
Crypto Scams
Crypto Scams Still Persistent In 2021, SEC Warns About Red Flags To Watch
September 9, 2021
Poly Network
Here’s How Hackers Stole Over $600 million in the Poly Network Attack
August 12, 2021
The World’s Most Infamous Crypto Hacks and Scams
July 31, 2021

Blockchain/Cryptocurrency Questions and Answers

GamStop
How Does Bitcoin Casino Work + 2021 Beginner’s Guide
November 8, 2021
Cryptocurrency
How to Buy and Sell Cryptocurrency
November 8, 2021
What Are Bitcoin Futures And How Will They Work In 2022?
November 4, 2021
Ethereum
The Unconventional Guide to Ethereum
October 28, 2021
ICo Presale
The Science Behind ICO Presales…
October 14, 2021


CryptoCurrencyUSDChange 1hChange 24hChange 7d
Bitcoin42,338 0.15 % 0.25 % 1.03 %
Ethereum3,159.1 0.22 % 2.32 % 2.69 %
Binance Coin471.15 0.16 % 1.48 % 1.67 %
Tether0.9986 0.03 % 0.08 % 0.23 %
Cardano1.490 1.71 % 6.61 % 25.80 %
USD Coin1.000 0.14 % 0.20 % 0.17 %
Solana140.72 0.64 % 0.50 % 0.32 %
XRP0.7518 0.05 % 2.25 % 2.70 %
Terra79.85 0.99 % 2.38 % 8.44 %
Polkadot30.87 2.19 % 17.29 % 10.73 %

bitcoin
Bitcoin (BTC) $ 42,295.00
ethereum
Ethereum (ETH) $ 3,151.62
binance-coin
Binance Coin (BNB) $ 470.53
tether
Tether (USDT) $ 1.00
cardano
Cardano (ADA) $ 1.49
usd-coin
USD Coin (USDC) $ 1.00
solana
Solana (SOL) $ 140.58
xrp
XRP (XRP) $ 0.751705
terra-luna
Terra (LUNA) $ 79.64
polkadot
Polkadot (DOT) $ 25.09