On December 15, FINMA-licensed Swiss financial institution, Seba, introduced the launch of a gold token that may be delivered in bodily type, on-demand, at any time from the agency’s associate refineries. Seba believes the token will be leveraged as a compliant stablecoin “backed by responsibly sourced gold.”
Swiss Bank Introduces ‘Seba Bank Gold Token’ Backed by Physical Gold Stored at Partner Refineries
Switzerland-based crypto financial institution Seba has launched a quantity of new crypto merchandise this 12 months, like including decentralized finance (defi) tokens to the corporate’s product lineup. In October, the Swiss financial institution revealed that clients can earn a yield on crypto holdings in an “institutional-grade” style. On Wednesday, Seba revealed its gold token providing that may be traded for bodily gold at any time.
“The Seba Bank Gold Token is a landmark improvement in funding merchandise, enabling buyers for the primary time to personal a digital type of bodily gold through a completely regulated, cost-effective, and future-proof answer,” the Swiss financial institution’s announcement particulars.
Seba CEO Says Gold Plays a Major Role within the Capital Markets, Seba’s Gold Token Has Many Competitors
According to Seba, the financial institution labored with a service supplier within the valuable metallic (PM) business known as Argor-Heraeus. The blockchain-based PM platform was developed by Axedras, the Swiss financial institution’s announcement reveals.
“Seba Bank’s Gold Token can increase the adoption of valuable metals by offering a cheap, safe and simple answer for investing in gold,” the corporate famous on Wednesday.
“Gold performs a significant position within the capital markets. With a market cap of over USD 11 trillion, it presents buyers a dependable hedge in opposition to inflation and a retailer of worth irrespective of financial turbulence. The gold commonplace was as soon as the financial unit of account throughout the globe, forming the premise of our worldwide financial system,” Guido Buehler, CEO at SEBA Bank stated in a press release.
The Seba CEO added:
With the launch of our revolutionary Gold Token, we’re constructing on this historical past to permit buyers to personal a completely regulated digital type of bodily gold for the primary time. Physically redeemable direct from refineries on-demand at any time, our gold token removes the frictions of proudly owning gold for buyers and supplies a cheap answer for proudly owning the asset match for goal within the new economic system.
Seba financial institution isn’t the one gold token constructed on high of blockchain know-how, as there are gold tokens issued by Paxos (PAXG) and Tether Limited (XAUT) backed by an oz. of .999 wonderful gold. During the primary week of August, the PM business big Kitco launched a gold-backed token on high of Ethereum. Gold-backed tokens have fetched a premium up to now on a number of events as compared to gold’s spot market costs.
What do you concentrate on Seba financial institution launching a gold-backed token that may be redeemed for bodily gold? Let us know what you concentrate on this topic within the feedback part beneath.
Image Credits: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for informational functions solely. It isn’t a direct provide or solicitation of a suggestion to purchase or promote, or a suggestion or endorsement of any merchandise, companies, or firms. Bitcoin.com doesn’t present funding, tax, authorized, or accounting recommendation. Neither the corporate nor the creator is accountable, immediately or not directly, for any harm or loss prompted or alleged to be brought on by or in reference to the use of or reliance on any content material, items or companies talked about on this article.