Cryptocurrency To Be Backed By Gold

With cryptocurrency investing being all the rage, Perth Mint will back it’s cryptocurrency with precious metals. The plan allows consumers to buy gold much easier but is subject to a confidentiality agreement.

Like Bitcoin, Perth will make use of blockchain technology as it’s core component. The system will act as a public ledger for each transaction. Blockchain technology is used to track various industry transactions.

Richard Hayes, the CEO of Perth Mint says the company saw a need to lead investors back to precious metals after investments in cryptocurrencies and other alternative investments ruled the markets.

Gold backing a better cryptocurrency investment

Perth believes their latest investment option will succeed because of its backing. Hayes added that most digital currencies have no backing like precious metals. They are generally transferred from person to person via the internet. He believes people are looking for alternate offerings. The company believes the offering of crypto-gold will be exciting and safe.

The offering will distribute through the ledger system so it will settle quickly.  This system will also be easy to trade.  In addition, investors can buy and sell confidently because the transactions will be traceable.

He said blockchain would provide a transparent offering that would allow investors to buy and sell with confidence. They will know that the products they are buying are easily accessible. Hayes further stated that the ledger system was nearly incorruptible.  An important feature that draws investors.

Perth’s system will differ from other blockchain record-keeping offerings. Many of these systems lack the gold backing which makes investors rely solely on the blockchain technology.

The investment retains its intrinsic value since the blockchain’s security is in the precious metals. With Bitcoin  the investor relies on the perception that there is something behind their investment. With Perth Mint’s offering, there really will be.