Gold is a precious metal that has been used a form of money in the past and now as an asset, which can be traded for other financial assets and commodities. Being a reliable store of value, it is not uncommon for people to sell gold or use it as collateral to gain access to liquid cash. Presently, such a process is time-consuming, with limited options. While the reputable financial institutions offering these services take their own sweet time verifying the authenticity of the gold and gold jewelry, the unorganized pawn shops offer loans worth a fraction of the actual value of the collateral with high-interest rates.
GoldMint Automates Gold Vending on Blockchain
GoldMint, a blockchain based gold-backed cryptoasset platform makes the process a whole lot easier and much faster than the conventional process through automation namely vending. GoldMint is one of a kind blockchain project to offer this service, as most of the gold-backed cryptocurrency platforms limit themselves to trading the gold backed tokens against other assets or enabling transaction of value between users. The conventional blockchain based gold tokens are similar to Gold ETFs.
Differing from the other blockchain projects, GoldMint has introduced an innovative product that has certain similarities with vending machine – Custody Bot, which makes it easier for individuals and businesses to deposit the gold for safe keeping, get it analyzed and based on the decided worth, take out loans either in the form of the platform’s gold-backed GOLD tokens or fiat through institutions. The Custody Bot is connected to GoldMint network, ensuring that each deposit is recorded on the platform’s Graphene blockchain for transparency, security, and automation of services.
The Custody Bot is similar to a vending machine and comes with a whole set up of equipment that makes receipt and analysis faster. The platform is powered by Linux operating system and has a retrieving mechanism enabling it to receive and dispense gold. Once a user deposits gold into the Custody Box, the platform’s inbuilt spectrometer and scales weigh the deposit and subject to spectral analysis to gauge its quality. If the deposited gold matches the acceptable parameters, the machine creates an entry on the GoldMint blockchain and stores the gold in one of the 40 deposit boxes. In return, the Custody Box will issue GOLD tokens that can be used for transactions or trading. The platform also offers API access to third parties, enabling them to provide their services while using GoldMint’s infrastructure including the Custody Box.
GOLD and MNT Tokens
The GOLD tokens are crypto-assets that are backed by actual gold on GoldMint’s Graphene blockchain. Each GOLD token is supported by an ounce of LBMA gold, whose value is consistent with the global gold prices. By backing the token with actual gold, the platform provides assured value to the GOLD tokens while eliminating volatility. MNT is another token on GoldMint platform that is used for blockchain operations including smart contract creation, rewards for block generation and more. These tokens are also responsible for facilitating GOLD transactions. The MNT token holders stand to receive a share in the commissions generated from GOLD transactions. GoldMint will allocate 75% of the collected fees for distribution as dividends among MNT holders.
Recently, GoldMint held a token pre-sale, during which it collected over $600000 in less than 36 hours. The platform has just announced its ICO, which is scheduled to start on September 20.