What will an ordinary person imagine when they hear about the “gold investment”? Perhaps they will think of real gold bars hidden in the wall safe behind the painting. Why not? However, today’s investment mechanisms offer many more methods.
Paper gold, for example, solves storage and transportation problems, but at the same time exposes you to some new risks – double costs, counterparty issues, and loss of records. Fortunately, there is an alternative – gold tokenization.
This type of investment assumes that a unit of gold is represented by a token on the blockchain. The token can then be listed on a crypto exchange, where a person can purchase it for fiat or cryptocurrency.
Let’s watch Alex Dolgov, a top blockchain consultant, evaluating gold as the object of asset tokenization, commenting on gold backed cryptocurrency potential, and the organization of security token offering (STO) campaigns.
00:00 What is tokenized gold?
0:49 Gold bars vs Gold-backed tokens
1:16 Advantages of tokenized gold
2:15 How safe is it to tokenize gold?
3:13 Difference between tokens and cryptos
4:05 What is a token standard?
4:58 Do I own real gold if I buy a tokenized one?
5:32 How to distribute tokenized gold?
6:23 Advantages of blockchain tokenization
7:26 How do I tokenize an asset?