Karatcoin: Solution for the Problems with Gold Assets in Centrlized Economy

Hello Steemians, here I'm with my new Blog. This post will highlight the current issues with possession of gold assets & their handling in centralized economy vs blockchain solution for gold assets presented by #Karatcoin.

As it has become a well known fact now that all the major sectors related to our lives are coming into blockchain & adapting this brand new technology so the future of blockchain is not in skepticism, that's for sure.

In this order, one of the most invaluable asset related to our lives is #Gold which is used by us in many ways specially for adornment & jewellery is coming into blockchain.

In the possession of physical gold people makes deliberate efforts to have it but in reality it's not that easy to get the gold in apt prices in centralized economy & the purity issues are there too.

There are many other issues with the possession of physical gold in centralized market for which #Karatcoin has some decent solutions.

Let's discuss about the main issues with physical gold in centralized system.

1. Difficulty in finding hold on the market :
The demand is increasing day by day of physical gold but the unfortunately the supply is not according to the demand coz gold mines can't guarantee you the requisite supply.

2. Bond Value :
A Bond is a debt instrument which acts as an IOU. It can be traded in financial markets like equities & other commodities but the returns on bonds are not comparable with equities at all due to lower interest rates.
Bond value is so much manipuated in centralized market so it's unethical for the gold.
All we can say about bonds that they are not much reliable to have coz of the deflated bond market.
The bond market from long time is in the deflation. From 1993 it can be seen easily by 'deflation curve'. The average Consumer Price Index (CPI) since 2000 is 1.5% & currently on 1.6%.

The following curve will tell you about the market conditions for Bond.

3. Backers defaulting :
One of the main downside in a orthodox debt- backed currency system is the possibility of backers defaulting on their contractual obligations.

4. Holding unused gold :
Many investors buy gold in the mindset that "the one asset which is no-one else's liability." But due to the contemptible legal subtlety that forces many of them hold it in such a way as to achieve the exact opposite, & they prone themselves to a hidden risk which they were trying to avoid.

Gold demand has increased colossally in recent time. In 2017, gaining 6% to to 1095.8 tonnes in Q4 from its value in Q1.

So, this demand can only be fulfilled by implementation of transparent & decentralized machinery which we are lacking right now.
But #Karatcoin presenting the decentralized solution for the acquisition of physical gold. Decentralized market will be cheaper & safe for the gold accumulation & trading.

These solutions will be covered in my next blog till then watch this space..

Visit: https://karatcoin.co/#tokenSale

Website: https://karatcoin.co

Whitepaper link: https://s3-eu-west-1.amazonaws.com/karatcoin.co/files/docs/KC_WP.pdf

ANN: https://bitcointalk.org/index.php?topic=4932340

Telegram: https://t.me/KaratcoinGroup

Article by- Sumit Bisht

My BTT profile link: https://bitcointalk.org/index.php?action=profile;u=2396148;sa=summary