New Cryptocurrency Backed by Gold - ICO happening now!
I recently found a new cryptocurrency going through an initial coin offering. I couldn't find much information about the company, although it looks like a good amount of people have bought into it. I did pick up one coin for now, just to test it out. Keep in mind, all investments hold risks and only spend what you can afford to lose. The ICO has about another 70 days to go before it ends. We live in an exciting time where our reality is moving away from centralized authorities.
Naysayers
One of the biggest arguments against cryptocurrency heard on a regular basis is, "It's not backed by anything". People think these digital assets are just a scam, hold no real value, and will eventually collapse like a lot of things. Many believe that because cryptocurrencies don't have precious metals backing them that there is no way they can ever maintain value over the long run. What they fail to realize is gold and silver are not needed to keep digital assets valuable. I've heard people describe Bitcoin using the analogy, "Bitcoin is to the blockchain like email is to the internet". Meaning that Bitcoin is just one application that can be built within in a blockchain. There are so many other services and uses the blockchain can be used for besides money. We're already seeing all the innovation in this space as people are looking to improve on Satoshi Nakamoto's invention.
Oldschool
So if not precious metals, where does the value of blockchain technologies come in? Well, it comes from many things. People actively buying and selling the tokens on an open exchange provides value. But the true value will come from the benefits of using blockchain technologies. With Bitcoin, I can send money across the world without the need of a government, bank, or centralized institution. Blockchains cut out the middle men, that is the value. It brings the power back to the individual and allows people to be the master of their destiny. There's a quote from the movie Blow with Johnny Depp, where the character he plays says, "We're getting middled!". And that is exactly what is happening.
Failed Leaders
The government and banking system are the middle man and as time goes on they are able to take more and more from us until we are homeless and starving on the streets. It seems like the current system is working well, it did for a while, but most can now see it is breaking down before our eyes. Blockchains solve most issues with centralized power, we don't need to be ruled, we just need the ability to freely create new technologies, trade, buy, and sell with eachother. Blockchains create a free and open market that can't be manipulated by anyone. This is where the value comes in, giving the ability for the average person to take complete control and responsibility over their life. Steemit is a perfect example of this, allowing users to express their thoughts, earn tokens for the value they provide, without the need to share ownership with a centralized power. Not only that, information can not be censored, unlike legacy technology like Facebook, Twitter, and Youtube.
New Innovation
With that being said, the new ICO I stumbled across is called Onegram. This is an interested token because it is backed by a gold gram. All the tokens have been premined and each one is tied to one gold gram. This brings the value of gold with all the benefits of the blockchain. Being able to transfer your value across the world quickly, securely, peer to peer. I still suggest holding physical gold, because you have control over it. The interesting thing about this coin is that any fees incurred are automatically reinvested into buying more gold. Once more gold is acquired it is evenly distributed across all the existing tokens. What this means is the Onegram token can actually become worth more gold over time just by holding it. I think it's a great idea and I really do hope it is a legitimate company. Time will tell, but if you are interesting in checking it you can find the website here - Onegram
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Sincerely Yours,
@johnnyyash
good!
This is awesome! will do more research.
there will never be enough gold to back this -also what if gold goes down in value, which can be manipulated by centralisation -Also who is holding the gold? - you are given a 'token' against your gram, not gold- you therefore have to keep selling your token to someone else and hope that gold has gone up in value in the hope of making a profit- they cant give you any gold as they need this 'to prop up' there claim of being gold backed - I read into this and to me it looks like another ponzi scheme -my own opinion
It's premined tokens, so all the coins already exist and each one is backed by 1 gram of gold. 28 grams equal one ounce.
how can they pre-mine them when they dont yet own the gold?? where is there SKR for the gold they own - how can this be proven and validated - which institution is holding the gold - and if they dont yet own the gold or the gold is leased, where is that agreement showing there lease agreement and t&C of that lease? - how can they premine and distribute their tokens with a value ?
When you purchase a token, you're actually buying a gram of gold.
at market value of gold.
no you are not - you are buying a 'token' as a representation of the oz of gold but not the actual gold - so when you pay for your token - who holds the gold?? How do I know they actually bought the gold and that it is actually being stored. How do I guarantee it is being held by a reputable company and is stated on the SKR that it is held to the order of the coin I purchased. The fact is the company cannot guarantee anything and cannot show they own and hold the gold and no vault company can give me the security required for me to feel safe that the gold held is backing my actual coin purchased. Therefore it can never be proven that the coin is worth what I have paid for and I am not prepared as won't everyone else to trust a bunch of tech people who say they are doing something to have actually done it. There are too many scams based on crypto currency to know that this is real as you will never be able to prove to me, other than sending me the actual gold, that you are not just taking the money and creating a ponzi scheme backed by nothing but a promise, which is how the current fiat based system works. I didnt mean you personally Jonnyyash , I know you are just reporting it as news on steemit :)
Well if you read my article, you'd see I wrote that I don't know too much about the company and any investment is a risk. I also said you should hold physical gold. My point was that I liked the idea. But you're right, you can't trust anyone. You can't lose what you don't invest, but you can't gain much either.
i see what you are saying, but in this case you will never hold physical gold for a token you have bought from them - personally buy gold direct from a gold dealer and then YOU OWN THE GOLD and the value :) - I read your article which is why I commented and I hate to see anyone ripped off by a clever scam, which I personally believe this is .. have a great day
People are ripped off everyday, does that mean I shouldn't talk about new ideas I find interesting? Should we censor this post and make sure no one else sees it?
in 2011 it was recorded there is around 5,820,203,717 ordinary ounces of gold. Which would be 162,965,704,076 grams of gold.
LOL - thats not theirs..most of this is in private insitutions and families ! central banks etc
It was the calculated amount of gold in the world yes, not what this new ICO owns. But you said there isn't enough a gold, which is BS.
Yes you are possible correct, there is probably more than that, which is never recorded - but for them to say its asset backed by gold, they need to OWN the gold and they would never be able to own enough gold to sustain this type of coin - each coin would have to be assigned to a person with a SKR - this would never happen ... sorry dont believe in this - sound good but I believe its a ponzi scheme.....
You could be right, but that wasn't the point of the article.
Gold, or commodity, backed crytpo is undoubtedly the way forward. The 'is there enough' argument is mute. There is always enough just depends on the price.
It's so awesome that we are getting some opportunities to invest in ourselves and take our power back.
I've found a great company doing a gold based token. They are already successful and have just launched the crypto side at www.karatbank.io
A great wealth transfer is taking place. Are you taking advantage?