Another Oil-Backed Cryptocurrency Being Launched
Signal Capital Management, a New-York based investment company announced on Monday about launching an oil & gas backed cryptocurrency. The company says it will be the “world’s first globally compliant” oil-backed digital currency.
PetroDollars – This is the name of the new digital currency. It will be backed by the underlying value of recoverable reserves of crude oil and equivalents such as natural gas and condensates, and related assets.
In the works, this is not the first oil-backed digital currency, not counting Venezuela’s El Petro, which tries to attempt from U.S. financial sanctions.
In December 2017, a team of banking and technology managers and former U.S. regulatory commissioners said that they were launching the world’s first regulatory compliant cryptocurrency backed by a physical asset—OilCoin, which would be based on oil reserves.
PetroDollars now is the globally compliant digital reserve currency. Signal Capital says it is undergoing a regulatory-compliant private placement of PetroDollars tokens to accredited U.S. and foreign investors.
A global initial coin offering (ICO) is expected to take place in late 2018 and to be up to US$700 million in size, one of the largest ICOs to date, Signal Capital Management said.
It is expected, that PetroDollars will be in the top 20 cryptocurrencies by total market value. It will be exchangeable for major world currencies and other cryptocurrencies. According to the White Paper of the new oil-backed digital currency, PetroDollars tokens will be nominally hard-capped at 500 million tokens.
