The head of the Venezuelan cryptocurrency authority Sunacrip, Joselit Ramirez, has been arrested on March 18 for his alleged involvement in corruption schemes, according to local media reports. Ramirez, who has been leading the institution since its inception in 2018, has been accused of embezzling $3 billion related to unregistered oil sales.

Ramirez’s arrest has dealt a major blow to the Venezuelan government, which has been pushing for the use of cryptocurrencies as a way to circumvent international sanctions and revive its struggling economy. The Venezuelan government has been facing mounting pressure from the international community over its human rights record, corruption, and economic mismanagement.

Ramirez’s arrest highlights the risks associated with the use of cryptocurrencies in countries with weak institutions and high levels of corruption. The Venezuelan government’s push for the adoption of cryptocurrencies has been met with skepticism by many in the international community, who have raised concerns about the potential for these currencies to be used for illicit purposes.