Topic: Update: Venezuelan state issued crypto to be backed by oil, gas, gold & diamond (Read 210 times)

Isn't that the other way around?
The USD jumping 25k x times against the bolivar?

I think it's more related to this:
https://www.reuters.com/article/us-venezuela-economy/venezuela-eliminates-heavily-subsidized-dipro-forex-rate-idUSKBN1FJ040

It looks like the success of the ICO actually made Venezuela's fiat currency, the bolivar, jump in value too. It's a little less worthless than it was:

https://twitter.com/rusilsarkar/status/966610314983804928




 

I spent a significant part of my life under communist regime so I know exactly what you are talking about and I absolutely agree with you on the crime against humanity part. People living in the West, especially independent thinking ones, might think that communist governments care about working class people and peasants after seeing some communist propaganda films. But what those governments actually do is they make slaves out of working class people and peasants deceiving them at the same time through the media. In fact disadvantaged groups live much better life in the Western countries than under communist regimes. It's very hard to understand for those acquainted with the subject only through books and movies though.

As for the Petro tokens, 100 million of which will be offered for purchase at the price $60 each, I wouldn't call anyone who bought this coin a supporter of the oppression system. Don't forget that the citizens of Venezuela don't have much of a choice. So I wouldn't blame them for buying Petro. But of course for the crypto  traders living abroad investing in Petro, apart from being a very stupid move financially, it is a support of the oppression system imo.

Interesting, thanks for sharing + merited.

Venezuela may accurately be described as a sinking ship. I would be very surprised if anyone invested $735 million in the strength of their oil with its dwindling reserves or their economy which doesn't look as if it will recover anytime soon.

I know some who say venezuela and russia could form an alliance as both are under economic sanctions from the european union and united states. I think that statement is similar to the news media claiming Saddam Hussein and Osama Bin Laden were forming an alliance which needed to be stopped by a war in iraq. It may not make sense in many different ways. Venezuela and russia are both major oil providers and perhaps more competitors than allies. Venezuela also may not have much to contribute towards an alliance with russia. They are unable to provide for their own people much less for an ally.

If venezuela did receive $700 million in funding, I think it may have come from bankers who are hoping to own a stake in venezuela which they can redeem later for greater value if the country enters a post crash era where its assets are liquidated.

This is just part of their scam, they're going to try to hop on the ICO bandwagon and get a ton of peoples money. It's something that I wouldn't doubt this communist / socialist regime would do in order to keep their machine going for a little bit longer.

Hoping for some Capitalism to hit them soon, HARD.

I think it is not backed by real assets ,but future explorations and based on data of reserves that may be discovered in future
Desperate attempt by funds starved govt to collect some money

Not sure how this is any better than any fiat government currency. It’s a government run currency that is electronic. I still think any decentralized cryptocurrency would be better than a government currency especially if the government is bankrupt.

Will they be able to create as many coins as they want and at any time they want? If so, it will be deflationary.

The fact, if it's true at all, that this coin is backed by oil, gass and diamonds doesn't realy mean anything. And how could anyone even check all this?
Don't get me wrong but anything that comes from "exotic" government in Venezuela I would take with big doubts and reserve. To my opinion this is only propaganda and has nothing to do with reality.

Well, if people are prepared to invest in scam ICO's, why not invest in an ICO of a scam government?

I would disagree because I don't think we want this coin to succeed. If it does all it will show is that another centralized party came in with authority and ran a centralized coin that would not bode well for crypto. So therefore I would argue we need a project like this to fail, we don't want to see more "Ripples" around here do we?

Still don't see how one is supposed to believe their cryptocurrency (the so called PETRO token) is going to properly and accurately represent their supplies of oil, gas, gold and diamond at any rate. Why would you believe that? Is the process open source? where can I check if the PETRO token is presented by current natural resources in possession of the Venezuelan' government?

Give me a break. I wouldn't believe any of this unless it's all open source, and I doubt a government like Maduro's would make it all accessible for everyone to see.

It is a good sign that Venezuela has been able to accomplish that huge amount on presale. If eventually the Petro-crypto gets the country out of the woods, believe me the wide world will not have a better approach than to embrace cryptocurrency. Fans of virtual currency should just hope this succeeds. All the same, thumb up for Venezuela.

Totally in agreement with you on that. As a matter of fact even seashells would perform better than Bolivar, heck I saw some nice souvenir shells for 2.6$ yesterday in my local shop... jokes aside;
I don't know what is your background or who buys this petro but for me, every communist organisation is an organised crime group with murderous tendency, genocide inclinations and should be considered as an enemy of piece with potential plans for crime against humanity!
This strikes me personally, because I know how it feels to live under communist regime. This dangerous ideology eats through people like lupus, its like a cancer of the mind! It leaves human-beings empty, deprived, derailed, sick to the bone and miserable. Someone who never experienced that system on their own skin, will never understand how painful and sad it can be. It sticks to the brain like a warm, used chewing gum and stays for the generation, infecting all what's around, with one goal - destruction of thyself.

With all respect for the poor people of BoliviaVenezuela, their system need no rescue, it needs executioner.    
Now, from my perspective ANYONE who bought this coin should be considered as supporter of the oppression system, should be ashamed publicly and forced to personally apologize families of those who died under that horrible, inhuman system. There was a time in America when such people would face prison time... I sometimes regret that it is over.

I agree with you, as I said earlier I don't trust this guy, their president, at all. At fist seeing that $735 million number from petro's pre-sale I though it's just another lie since the primary source of this information is the Venezuelan government. But then after some research I came to conclusion that it might be true. The thing is that Venezuelan Bolívar continues its falling and the International Monetary Fund forecasts an inflation rate of 13,000 per cent for 2018. Taking into account that they promised to accept the petro as payment for taxes, fees and public services in the petro's whitepaper, poor Venezuelan citizens might start buying the coin because indeed holding it might be a bit better than holding the Bolivar. I didn't mean to say that this petro is good for investment, but compared to Venezuelan Bolívar probably it is.

  a drowning man will clutch at a straw
Note that this info is realised only by the official website which I don't even bother to visit, cause who knows what sort of scripts are running there... Anyway, probably pile of bollocks spaded in order to encourage more money to be thrown in to the firepit.
If true... than jeez, I have no word for stupidity driven greed, or the other way around.
I feel sorry for all those poor people starving there but this scam wont help them. Even if somehow successful, it will be the next communists fraud.

How do those investors expect this "backing" even work? They wont send you barrels of oil with DHL, that's obvious. And when one goes there to use this coin than... he will be quickly "evaporated" because this is how commies work. Madness, it should be considered as backing up homicidal organisations.

According to the President of the country that have collected but so far no official confirmation but only his posts on twitter. So be a little wait.And yet it has been said that oil companies in the country are obliged to conclude transactions part using these coins even though Parliament had voted against the!

Apparently Venezuela has already raised $735 million from it's pre-sale:

https://www.rt.com/business/419397-venezuela-petro-cryptocurrency-maduro/

The US are concerned that the sale of Petro is being carried out in order to raise funds that will circumvent financial sanctions that have been imposed on the controversial state. Others have labelled the ICO a pre-sale of oil, which will cause issues in the near future. This is primarily because some of the oil that is being used as backing for the ICO is yet to be mined, and does not belong entirely to the Venezuelan government in the first place. Controversial Venezuelan Pre-Sale For Petro Goes Ahead - “The Petro is born and we are going to have a total success for the welfare of Venezuela” – Nicolas Maduro

It won't help them anything. They need to let back foreign investors and get rid of the socialist regime if they want to get back on track in the next couple of years. State crypto won't do anything at this point with the socialism still going on.

It would be backed by oil if they are willing to exchange petro for real oil but like you said I don't think this will be true.

This coin is not backed by anything until someone exchanges petro for real oil.