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On December 15th, SEBA Bank, a licensed Swiss digital asset banking platform, launched a regulated digital token backed by physical gold that can be used for delivery. SEBA claims that due to its compliance and the low volatility of gold prices, gold tokens can eventually be used as stablecoins for on-chain transactions.
In other words, the design of gold tokens is similar to the gold standard. In addition to the trust granted by the government that issued them, fiat currencies are also supported by their exchangeability with physical gold. In 1971, US President Richard Nixon cancelled the US dollar gold standard. According to the Bretton Woods system in 1944, every 35 US dollars can be exchanged for one ounce of gold.
Gold-backed currencies are known for their ability to eliminate hyperinflation-a common fear among cryptocurrency enthusiasts. However, they are also suffering from the unfavorable factors of the prolonged economic depression, because the government’s ability to print stimulus measures is limited by the supply of gold. Currently, no country in the world adopts gold or silver standards.
Buehler explained this development in the following statement:
“It can be redeemed directly from the refinery on demand at any time; our gold tokens eliminate the friction of holding gold for investors and provide a cost-effective solution for owning assets suitable for new economic purposes.”
Previously, SEBA launched A program Earn crypto revenue for users.it is First Bank A digital hosting license has been obtained in the country.
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