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 companion refineries. Seba believes the token may 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 prospects 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 development in investment products, enabling investors for the first time to own a digital form of physical gold via a fully regulated, cost-effective, and future-proof solution,” 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 treasured steel (PM) business referred to 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 boost the adoption of precious metals by providing a cost-effective, secure and straightforward solution for investing in gold,” the corporate famous on Wednesday.
“Gold plays a major role in the capital markets. With a market cap of over USD 11 trillion, it offers investors a reliable hedge against inflation and a store of value irrespective of economic turbulence. The gold standard was once the economic unit of account across the globe, forming the basis of our international monetary system,” Guido Buehler, CEO at SEBA Bank mentioned in a press release.
The Seba CEO added:
With the launch of our modern Gold Token, we’re constructing on this historical past to enable 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 an economical resolution for proudly owning the asset match for goal within the new financial system.
Seba financial institution shouldn’t be the one gold token constructed on prime of blockchain expertise, as there are gold tokens issued by Paxos (PAXG) and Tether Limited (XAUT) backed by an oz. of .999 tremendous gold. During the primary week of August, the PM business large Kitco launched a gold-backed token on prime of Ethereum. Gold-backed tokens have fetched a premium previously on a number of events compared to gold’s spot market costs.
What do you consider Seba financial institution launching a gold-backed token that may be redeemed for bodily gold? Let us know what you consider this topic within the feedback part under.
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