Venezuela is exploring the possibility of deploying a state-backed cryptocurrency as a strategy to shore up its ailing economy, ETHnews reports.
The Central Bank of Venezuela convened a symposium yesterday that included representatives of the bank’s foreign exchange system, known as DICOM, and private sector experts on blockchain technology and cryptocurrency.
The talks reportedly covered subjects ranging from technical features of blockchains to practical guidance on launching token offerings.
Ángel Salazar, CEO of Venezuelan blockchain firm OnixCoin, explained that the Central Bank might issue a cryptocurrency as a strategy for mitigating the fiscal hardships plaguing the nation.
Over the past few years, falling global oil prices and US sanctions issued by the Obama and Trump administrations have crippled the Venezuelan economy, contributing to a prolonged crisis that has fomented widespread popular unrest.
Though cryptocurrency mining is legal in the country, in some cases, police have arrested miners. In February 2017, Venezuela’s leading exchange, SurBitcoin, announced that its bank account was being revoked and urged users to withdraw all holdings from the platform. Today, the exchange is once again operational.