June 24, 2022
  • June 24, 2022

Gold is available to everyone

By on June 2, 2022 0

Tether gives more accessibility to classic lacrosse.

Image source: VectorStock.com/22538990

The idea of ​​money as a financial tool in exchange for goods and services began with extremely rudimentary instruments. It was only with the arrival of gold that we began to have a more elaborate monetary system. Gold continued to form the basis of our system for centuries until relatively recently. In an increasingly digital world, it’s easy to forget why gold has been an attractive investment for most of human history. Today there is a Golden possibility of recovering the advantages that we have lost and of reducing many of its disadvantages.

Gold on the Blockchain

Tether Gold (Gold) is a digital asset offered by TG Commodities Limited that allows holders to self-custody their gold cryptocurrency. It is the first asset that allows gold to be used in the digital economy. A full XAUt token represents one fine troy ounce of gold on a London Good Delivery bar. XAUt is available as an ERC-20 token on the Ethereum blockchain and as a TRC20 token on the TRON blockchain. The token can be traded or moved easily anytime, anywhere in the world, and can be transferred to any on-chain address from the buyer’s Tether wallet where it is issued after purchase . The allocated gold is identifiable with a unique serial number, purity and weight and is exchangeable in the form of physical gold.

US$100 note redeemable for gold.

Technical advantages

Being an ERC20 token, it can be split into fractions as small as 0.000001 ounce, allowing fairly small amounts of it – ideal for small investors – to be handled through exchanges such as Bitfinex. Also, being a token, it acquires greater scope and translatability. You would not need any kind of special procedure to receive payment in gold, only a network compatible wallet. In addition, the same blockchain technology makes it possible to know precisely which ingot each ounce belongs to. You can verify it by simply placing your Ethereum address on its page.

This enables accurate auditing of the status of assets supporting the token, maintaining transparency at all times. Tether already has 142,320 ounces of gold in circulation, plus 104,203 ounces available for sale. The total value of these reserves is 205,316,013 USD.

XAUT is also an ideal vehicle to serve as collateral for secured loans in DeFi and CeFi, gold has been used this way for centuries. It is a fairly stable asset in terms of price movements, which makes it easier to avoid the liquidation of loan guarantees. This is a very valuable guarantee when you understand the volatility of the market, and considering that you can exchange your tokens for physical gold with a relatively low cost: 0.25% plus transport costs to deliver to Switzerland, or even TG Commodities Limited can sell your gold on the Swiss market on simple request, and cash delivery (by bank transfer).

Finally, XAUt is highly portable, unlike physical gold. XAUt tokens can be carried in your pocket, wherever you need to go. People have always held gold as a means of escaping politically unstable countries, but although gold has allowed them to protect their economies, it is almost impossible to leave a country with a significant amount of gold.

Imagine trying to flee a country with 10 gold bars in your luggage! It will be confiscated or stolen. XAUt makes it easy for users around the world to convert their savings into gold and take them wherever they go.

Gold in a new environment

Since the 17th century, gold bearer securities have been used as a viable form of currency. In the past, states used this system to issue their currency as legal tender. Historically speaking, since the Bretton Woods Conference, the necessity of backing silver to gold has been understood. After World War II, the proposal to create the Bancor, which would be an international currency whose value would be established against 30 commodities – including gold – was rejected. Ultimately, it was decided to adopt the US dollar for this purpose, as long as the Federal Reserve system maintained the gold standard. This does not happen.

With the XAUT, blockchain technology is used to provide better qualities for trading gold. This may lead to its widespread use as a means of payment given that we have a store of historical value that backs it 1:1. From public perception, this may be an entry point into the cryptocurrency market from an already familiar item.

Obviously, the most immediate use is as a store of value. But XAUT adds a higher level of privacy and a considerable reduction in costs, especially those related to transport. Physical gold – and gold titles in some vaults – do not have greater accessibility. Currently, the most popular way to gain exposure to gold is to purchase an ETF. However, these products are less direct than XAUt. Each token is a title to a specific gold bar – which you have the option of keeping in its physical form – which would be impossible in an ETF.

In practice, Tether builds bridges for people to learn more about Bitcoin through values ​​that are more common to them. The most important thing is that these values ​​are accessible to everyone. If we use USDt as a benchmark, we see an asset that started as a product that sought to facilitate arbitrage and trading and is currently used as a means of payment whose adoption continues to grow. XAUt has the same possibilities. Even without being a user-friendly unit of account, it has real utility and obvious technical virtues, allowing the foundations of a more inclusive economic system to be put in place.

How to buy Tether Gold

Based on the benefits Tether Gold brings to the gold chain, users can purchase a small amount of XAUt in the secondary market. For example, buying 0.05 XAUt is equivalent to buying 0.05 ounces of gold. Cryptocurrency exchanges that currently offer XAUt trading services include: Bitfinex, FTX, and gate.io, and XAUt can also be traded from decentralized exchange Uniswap.

Users with large purchase needs can purchase Tether Gold (XAUt) directly through TG Commodities Limited after account verification, and the minimum purchase quantity is 50 XAUt. In addition, users can also deposit XAUt on Celsius lending platform or FTX App (formerly Blockfolio) to get the annualized income of XAUt, so investing in gold can also generate passive income.

Although XAUt is an on-chain issued digital asset, it is still tied to physical gold and must rely on its issuing company, TG Commodities Limited, to safeguard physical gold. Holders should continue to follow the operational status of the issuing company and the status of the currency. Transaction status to protect asset safety.

Click on this link to start your journey to a golden experience https://bfxleos.net/AFRICA

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