How do we save our dying government? Launch an ICO!
The government of Venezuela has rolled out plans for the release of its own ‘petro’ cryptocurrency. The oil-backed token is to be a form of legal tender – used to pay taxes, fees and other public needs.
The token is said to have already raised over $735 million in its presale.
“Our goal is to create the biggest shitcoin of them all. Which isn’t an easy task, have you seen Tron!?”
The government hopes to circumvent US financial sanctions and resurrect the country’s moribund economy – but is it ethical? Each unit of the petro is pegged to the price of one barrel of Venezuelan oil according to Caracas. Tether, anyone?
Wait, Ethereum or NEM?
The petro whitepaper had stated plans to be launched as an Ethereum token, but reports say the final product was actually launched on NEM.
The NEM technology is freely open to any individual or organization that wants to use it. The NEM Foundation abstains from political endorsements. We can confirm that the Venezuela Government is intending to use the NEM Blockchain. https://t.co/Ntl9qIIBCb
— NEM (@NEMofficial) February 21, 2018
It’s the first digital currency to be issued by a federal government – and although more than 100 million petros are expected to be released ultimately, only 82.4 million will be disbursed initially.
The whole affair has been met with much criticism from the crypto community, with questions regarding supply, utility, and whether or not this is just a blatant cash grab. How decentralized can this actually be?