May 06, 2021

Digital Gold - Part 05

Sakhila Mirza, General Counsel & Executive Board Director; Dan Tapiero, Founder, 10T Holdings & Co-Founder, Gold Bullion International; Guido van Stijn, Managing Director, Aurus Technologies Ltd.

In the final episode of our Digital Gold series, our speakers discussed how the de-centralised framework that underlines some of the digital currencies can also help to support the gold market.

Dan said: “Bitcoin has been attracting a lot of people under 40. Maybe they consider it more of a store of value than gold? However, gold – which has been the store of value for 5,000 years – is not going anywhere. We are increasingly seeing people using gold to hedge against bitcoin and cryptocurrencies, as they are much more speculative and volatile than gold.

“The gold market is also much more liquid – adding blockchain technology on top of that will only expand the market,” Dan continued. “In terms of tokenisation, having gold on a blockchain sitting on digital rails in the digital ecosystem makes it fungible with all the other assets and easy to transact, which is attractive and will help propel this renaissance in gold – making it easy to hold a gold token backed by physical.”

Guido agreed. “If you look at tokenised gold – or tokenised assets, in fact, as we have just launched the world’s very first silver-backed token – you can easily transact with it,” he said. “Our new payment cards will soon allow you to pay in gold with a Vault Signer card – a multi-asset card connected to the blockchain. So, there’s no middleman.”

Watch the video and find out more, including commentary on the challenges facing the market in adopting this new technology, comparison with ETFs, and what needs to happen next.