The officials of Russia have claimed that the country never joined with Venezuela on its national cryptocurrency, Petro, which marks the first state cryptocurrency of the world. The Russian Foreign Ministry’s deputy director of the information and press department, Artyom Kozhin, also claimed a news story that was published by Time magazine.
Finance Ministry of Russia About the Reports
The Finance Ministry of Russia has counselled “Time magazine” that it strongly denies any kind of contribution in the Petro cryptocurrency and noted that Time Magazine has disregarded the statement of ministry.
A meeting was held on 21st February 2018 in Moscow, where Kozhin said that Simon Zerpa, who is the Minister of Economy and Finance in Russia, gave a booklet related to the cryptocurrency to notify the Russians about the project, however, no one from the parties mentioned or conferred Russian-Venezuelan activity related to cryptocurrency.
The rate of Petro is linked to the price of oil that is produced in Venezuela, as it was announced in December by the president of Venezuela, Nicolas Maduro, considering it as a payment tool to evade the worldwide authorizations and a U.S. barrier.
According to Time Magazine, the president of Russia, Vladimir Putin sanctioned helping Venezuela to launch the Petro, mentioning anonymous resources close to the concealed joint venture.
Time Magazine also mentioned two Russians, named Fyodor Bogorodsky and Denis Druzhkov, who act as advisers on the Petro. According to few reports, during the launch of Petro, these two Russians were seated in the front row in the presidential palace.
According to an Associated Press report, Druzhkov is a chief executive officer of Zeus Trading, which was banned from trading almost three-years ago and was penalized for $31,000 by the Chicago Mercantile Exchange.
Likewise, some reports say that Bogorodsky lives in Uruguay and was described as director of Aerotrading company by the government, as his website contains only a single home page without any information about the company.
Russian State Bank
According to the executive of state bank of Russia, who deals with the cryptocurrencies, senior Kremlin counsellors have supervised the Petro project.
The state bank executive reportedly said:
“People close to Putin, they told him this is how to avoid the sanctions. This is how the whole thing started”
No response has been given by Kremlin to Time Magazine, however, the Finance Ministry of Moscow has said that none of the Russian financial authorities was involved in the development of Petro. At the same time, the government of Venezuelan also avoided commenting on this report by Time Magazine.