The Venezuelan authorities have abandoned the further development of the national digital currency El Petro. On January 15, all coins are automatically converted into local bolivars. Forklog writes about this with a link to Barrons.
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According to the publication, on the same day all cryptocurrency wallets on the Patria platform, the “only” site where El Petro is traded, will be closed.
“From a very reliable source, we received sad news that On January 11, Petro (PTR) officially died,” says a report from CryptoLand Venezuela.
Read: Venezuela launched its own cryptocurrency El Petro
What known about El Petro
The digital currency El Petro, allegedly backed by oil produced in the country, appeared in 2018. A number of local businesses are required to transact there. Venezuelan President Nicolas Maduro announced a new system of wages and prices tied to the national digital currency.
The coin was not in high demand; retailers refused to accept it for payment. At the same time, in 2021, Simon Bolivar International Airport of Maiquetia added the ability to pay for air tickets and other services using El Petro, as well as Bitcoin and DASH.
Read: El Cryptocurrency Petro attracted $3 billion in investments in a week
Recall that in 2021, Maduro ordered the transfer of social payments to El Petro. The initiative was aimed at protecting benefits from hyperinflation.
At the same time, Venezuela planned to issue a separate CBDC – the digital bolivar – in October of the same year.