After Venezuela successfully launched Petro, its oil backed cryptocurrency, they are now set to launch a second crypto token, the Petro oro. This will make them the first country to own two national cryptocurrencies.
The Petro oro will be backed by precious metals more specifically gold. They plan to launch it next week according to news reported by Globovision a TV news network.
After witnessing the success of Petro token during its ICO on Tuesday, Nicolas Maduro the Venezuelan president in a televised interview said:
“Next week I’m going to launch the Petro Gold, backed by gold, which is even more powerful, that will strengthen the Petro,”
On Wednesday, a day after Petro’s pre-sale, the president announced the token had managed to raise $735 million.
This though won’t be the first cryptocurrency backed by gold as last month the Royal Mint UK launched their own gold backed cryptocurrency dubbed the RMG currency.
Just like the Petro token before, the Petro oro has already attracted criticism from many people. One notable critique is Sean Walsh, the founder of Redwood City Ventures a crypto-asset firm who in a telephone interview says it’s difficult to know what to make of the Petro oro until he sees specific details about the coin. He adds that he isn’t interested in purchasing tokens backed by physical assets.
“Rather than buying a cryptocurrency backed by gold, I’d just go buy the gold”
“Gold is a physical thing that you want to be able to hold in your hands because that’s the point.”
For now it will be interesting to see how the government of Venezuela handles the two cryptocurrencies. If they are successful at it, they could open the door for other nations that have struggling economies, who like them may be fighting sanctions and hyperinflation.
In the comment section let us know what you think of Petro oro.