i don’t know how it works… but it is an unwritten law that oil is only allowed to be sold in US Dollars.
This is probably because the value of FIAT currencies such as the US Dollars, Euro and others is not backed by any commodities (gold, silver, wood, potatoes) – it is only backed by people that work harder and harder for less and less pay.
So after the gold standard (Nixon 1970s Vietnam) there came the “oil standard” to keep the value of the US Dollar high.
I have heard many tried to challenge it (it is said that Lybia, Gaddafi tried that) and payed the ultimate price.
Challenging the US Dollar as lead currency means declaring (unofficial) war – can the US restore it’s global dominance?
“Venezuelan opposition declares Petro cryptocurrency illegal”
“One of two opposition lawmaking groups in Venezuela has ruled that the country’s domestic laws do not allow President Nicolas Maduro to issue a national virtual currency.”
“In response to #sanctions from #Washington, #Venezuela has started reporting its oil prices in #Chinese #yuan, going against the international trend of listing prices in #US #dollars. The decision to move to Chinese currency was made last week as a way to get around the sanctions imposed on Venezuela by the #US government in August, which froze some #Venezuelan assets and prohibited #American citizens from doing business with the country.”
“Venezuela’s decision follows plans announced by China to start a #crude #oil futures contract priced in yuan and convertible into #gold, which could lead to the emergence of a new Asia-based crude oil benchmark. In 2012, #Iran began to accept yuan for its #oil and #gas payments, followed by #Russia in 2015.”