Gold-backed cryptocurrencies are the next step for precious metal investments. If you’re interested in the best ones around, this guide is for you.
Gold Coin is a stablecoin for trading such an asset. The asset is tied to the value of an ounce of gold, allowing you to buy fractional amounts of the precious metal. That, and you can even purchase the assets with a debit or credit card. A lot of exchanges don’t allow that.
The cryptocurrency platform even comes with useful trading features to automate your stablecoin trading experience. You can set profit and loss levels on your Gold Coin as you’d prefer. It’s an ideal way to get involved with gold-backed cryptocurrencies.
An asset managed by the popular Algorand cryptocurrency platform, Meld Gold, offers its digital token as well as physical gold trading. The idea is for blockchain technology to offer a more streamlined version of trading gold.
The team has experts from the gold, financial, and technology industries to ensure a solid platform for all traders. They plan to return the gold to one of the world’s most popular currencies due to this ease of access. After all, gold-backed stablecoins are much easier to trade than gold itself.
On top of this, all of the gold-backed Meld Gold is audited by a third-party group for validity. All Meld Gold is equal to one gram of actual gold as well. The platform even offers its own wallet for you to store all Meld Gold assets within. It’s compatible with Bluetooth and the Ledger Nano X for ultimate security.
PAX Gold is a subsect of the PAX stablecoin network. These assets are each backed by one fine troy ounce of a gold bar, which are stored in the platform’s vaults
The asset is an ERC-20 token, making it compatible with most assets on the Ethereum network. That, and it also ensures low trading fees on top of near-instant settlements. They even offer a really low investment minimum so anyone can get involved in the project.
PAX Gold is a token regulated by the New York State Department of Financial Services. This essentially means that physical assets are stored in the world’s most secure vaults. Of course, to ensure that bullion is valid, the group has a third-party auditor check the storage each month.
If interested, you can also redeem PAX Gold for physical bullion as you prefer. All crypto assets would be redeemed at current market prices, distributed in USD.
Digix is a gold-backed stablecoin where each asset is tied to 1 gram of a fine gold bar. All of these bars are entirely verifiable as well, with the platform being an accredited member of the Bullion Association. This also means all gold bars are fully insured to assist with theft.
The platform’s gold bars are stored in vaults in Singapore and Canada. You can check how much gold is in each one on the platform’s website, as they share certificates for everyone to view. These certificates serve as proof of purchase, so there’s no way the company can lie about its gold reserves, similar to how Gold Exchange reassures its users.
Similar to other gold-backed stablecoins, you can redeem Digix for physical bullion as you see fit. This costs a 1% fee, called a recast fee if you are to do so.
Otherwise, signing up on Digix is incredibly easy. It has you fill out some personal details, register a wallet, and you can buy. The process should only take a couple of minutes, not needing a ton of verification details like some other platforms.
GSX is a gold-backed stablecoin produced by Apollo Fintech. It’s not only backed by gold but by similar metals as well. However, you can choose for your assets to be just backed by gold if you so choose.
The assets are all audited by a third party quite often and are also redeemable for physical bullion if you’d prefer. Holders of GSX are eligible for yearly bonuses as thanks for their participation.