DGX Gold Backed Token – The Store of Value for the Digital World

Project Reviews / 18.10.2019

Gold, together with most precious minerals, have been known as a good store of value, ever since it was first discovered. Storing these minerals serves as a hedge against the volatility of currencies and the downfall of economies. It also attained onto itself a method of payment, where individuals can use it as a form of payment of goods and services.

The scarcity and its limited supply rather made gold turn into an asset to store wealth, rather than being used as a payment method. The supply of this mineral is not evenly distributed, for individuals to benefit from its store of wealth feature.

Gold’s physical nature also makes it indivisible and inaccessible to everybody, hence making it an asset held mostly by the wealthy classes of societies.

Merchants sometimes take advantage of this to call for expensive prices when selling it to customers, especially lower quantities. Additionally, purchasing gold comes with a series of paperwork and logistic hurdles in order to acquire this precious metal.

These hindrances brought by the use of gold are now a thing of the past, thanks to the introduction of an ERC20 compatible token, DGX Gold Backed Token – being spearheaded by DIGIX group of companies.

How DIGIX makes Gold easily Accessible and Divisible with the use of Blockchain Technology

DIGIX adopts one of the secured blockchain network, Ethereum, to deploy its DGX Tokens, thereby ensuring transparency and security to the tokens.

The total tokens issued can be verified on the public blockchain ledger, automatically disregarding any rumors of further minting new token, as seen in some cryptocurrencies out there. Security has long since been one of the unending battles in the crypto-sphere industry, but the Ethereum network has stood the test of time against all sorts of hacks.

The decentralized nature of Ethereum makes it absolutely impossible to be hacked, as this network is being maintained by over 8000 computers across the globe. With the growth of this network, cases of 51% attack is a thing of the past, hence DGX tokens are safe and secured.

Through the efforts of DIGIX, crypto enthusiasts can have access to gold deposits 24/7, no matter where they are across the globe. Gone are the days where one had to travel long and crazy distances, all in the name of purchasing gold from a traditional dealer. Now, it all happens right from your home or from the comfort of your office, while interacting with the Ethereum blockchain network.

In addition to the easy acquirement of gold, blockchain technology also makes the distribution of digital gold divisible to the tiniest fraction. The limitation of having to meet a buy order of any gold dealer has now been removed, with the introduction of digital gold. Gold investors can now purchase any fraction of digital gold that they want through listed cryptocurrency exchanges of DGX.

The Assurance of DGX backed Tokens

Smart Contract is a feature of the Ethereum blockchain network, which makes it possible for two parties to exchange assets without the control of any centralized institution. Through this same technology, DGX Tokens are going to be minted on a 1:1 ratio, with every gram of gold that is deposited in any of the accredited vaults by DIGIX.

To avoid any fraudulent attempts, users who wish to mint digital gold tokens are to deposit gold which is 99.99% pure, as approved by a London Bullion Marketing Association refiner. Proper documentation regarding the ownership of the physical gold is also uploaded and once this is done, DGX tokens are minted automatically according to the amount of physical gold that is deposited.

Users can verify the authenticity of all submitted documents through the asset explorer of DGX. This clearly proves why DGX is referred to as gold backed tokens, because for every token that you hold, you possess an amount of physical gold stored in secured vaults. This also balances the amount of digital gold to the amount of physical gold stored in the vaults.

Through the strict verification system of Bureau Veritas, one of the renowned auditing firms in the financial industry, all documents submitted as proof of ownership of deposited gold are ensured to be right and true. Follow up with this short video to know the entire verification process.

Gold which is deposited is not lost, but through the process of recasting, one can claim his/her physical gold according to the amount of tokens one possess. Making transactions with the use DGX is no hard nut to crack, it’s actually quite similar to making transactions with the use of any ERC 20 Tokens. See this video as a guide in making transactions with digital gold tokens. Purchasing DGX has been made simple through Kyberswap exchange. Within the shortest time possible, one can obtain digital gold tokens within few clicks.

Conclusion

Cryptocurrencies are being predicted by many crypto enthusiasts as the future payment method, however DGX Token is the next store of value to equally replace gold in the digital world. It’s a 100% gold backed asset which has been issued on the Ethereum blockchain network to provide maximum security to its users, as well as ensure full transparency in all its transfers.

The adoption of this digital gold makes this mineral easily accessible and investors can acquire the tiniest amount of gold that they want. DGX has gained the acceptance of renowned blockchain enthusiasts such as Vitalik Buterin, Arthur Falls, and Roger Aitken, hence expanding the community reach of DGX Tokens.

Useful Links

WebsiteDIGIX Asset Explorer | Twitter | Discord

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Holds a degree in BSc. Nursing from the University of Cape Coast, Ghana yet an addict to the blockchain technology and the cryptosphere. He combines the promotion of crypto projects and also the making of professional contents all to get innovative projects to the real world. He is a passionate Community manager and a Marketing Advisor for blockchain startups.