On December 15, FINMA-approved Swiss bank Seba announced the introduction of a gold token that can be physically accessed at any time by the company’s partner refineries. Seba believes the token can be used as a compliant stablecoin “backed by responsibly sourced gold.”
The Switzerland-based crypto bank Seba has introduced a number of new crypto products this year, such as: B. the inclusion of decentralized financial tokens (Defi) in the company’s product range.
In October, the Swiss bank announced that customers could achieve a return on crypto holdings in “institutional quality”. On Wednesday, Seba presented its gold token offering, which can be traded for physical gold at any time.
“The Seba Bank Gold Token is a milestone in the development of investment products that enables investors for the first time to own a digital form of physical gold via a fully regulated, inexpensive and future-proof solution,” said the announcement by the Swiss bank . According to Seba, the bank worked with a service provider in the precious metals industry called Argor-Heraeus. The blockchain-based PM platform was developed by Axedras, according to a statement from the Swiss bank.
“The Seba Bank Gold Token can promote the acceptance of precious metals by offering a cost-effective, secure and uncomplicated solution for investing in gold,” the company said on Wednesday. But classic crypto currencies such as Bitcoin or Ethereum still play a major role, as do people at Bitcoin Era experiences have collected can still confirm.
“Gold plays an important role in the capital markets. With a market capitalization of over $ 11 trillion, it offers investors reliable inflation protection and a store of value regardless of economic turmoil.
The gold standard was once the economic unit of account around the world and formed the basis of our international monetary system, ”said Guido Bühler, CEO of SEBA Bank, in a statement.
The SEBA CEO added: “With the introduction of our innovative gold token, we are building on this story and enabling investors for the first time to own a fully regulated digital form of physical gold.
Our gold token, which can be redeemed at any time directly at the refineries, removes the barriers associated with owning gold and offers a cost-effective solution for owning an asset that serves its purpose in the new economy. “
Seba Bank is not the only gold token based on blockchain technology. There are gold tokens from Paxos (PAXG) and Tether Limited (XAUT) backed by one ounce of 999 fine gold. In the first week of August, PM industry giant Kitco launched a gold-backed token on Ethereum.
Gold-backed tokens have earned a premium compared to spot market prices of gold on a few occasions in the past.
Sources: PublicDomain on December 28th, 2021