nevertheless one analyst thinks the petro is usually an “excellent idea” as well as could serve as a precursor to similar projects through some other world leaders, including Russian President Vladimir Putin.
“Putin as well as Maduro have very similar problems,” Mati Greenspan, senior market analyst at social trading firm eToro, told CNBC in an email last week. “They both have a high dependence on the cost of crude oil, which has been rather unstable inside last few years. They both have issues with U.S. sanctions as well as with the U.S. dollar being the earth reserve currency.”
He added: “To think that will of all the governments as well as banks who are toying with the idea This kind of would likely be Nicolas Maduro who gets there first. I suppose desperation breeds innovation.”
Reports have emerged in recent months of Russia considering a digital edition of its own currency, the rouble. Russia’s “cryptorouble” could be used as a means for the country to circumvent Western sanctions, a report inside Financial Times said last month, echoing Maduro’s own plans for Venezuela’s petro token.
CNBC contacted the Russian government’s press office for comment nevertheless a spokesperson was not immediately available.
Greenspan gave praise for the country’s plan to back petro tokens with its commodity reserves. Maduro has said petro tokens will each be pegged to the cost of one barrel of Venezuelan oil.
“This kind of’s an excellent idea to back the crypto having a hard commodity as the earth is usually currently flooded with baseless money,” he said. “Surprisingly, we’ve seen very little support due to This kind of initiative inside crypto community, most likely because This kind of seems the Venezuelans themselves don’t seem to have made up their minds just yet.”
Greenspan added: “In any case, I believe that will the petro is usually actually targeting more institutional investors as well as some other governments. They have more to spend then the crypto-billionaires anyway. No matter what happens, This kind of is usually going to be an excellent pilot for Putin.”