CoinShares, MKS, And Blockchain Roll Out DGLD Gold Token As A Bitcoin Sidechain

CoinShares, a major European digital asset investment firm is leading a group of companies in introducing a gold-backed token known as DGLD in the Bitcoin blockchain network, Cointelegraph reports.

CoinShares has teamed up with Blockchain, a key crypto wallet services provider and MKS (Switzerland) SA which is part of MKS Pamp Group to launch the token. CoinShare announced on Tuesday the launch of a gold-backed network that will allow trading of tokens that represent virtualized physical gold. According to the company, the development of the token consumed roughly two years. The new network was launched with digitized gold whose value is above $20 million.

As per CoinShare, the physical gold will be stored in vaults that are controlled by a Swiss company, PAMP in Ticino. The gold has been tokenized through Ocean Bitcoin sidechain that was created by blockchain company, CommerceBolt.

The initiative has taken advantage of immutability of Bitcoin blockchain and every token will backed by a tenth of a troy ounce of gold. The legal enterprise that came up with the token comes from Switzerland and has been a member of the country’s self-regulatory organization Financial Services Standards Association.

Danny Masters, CoinShares president explained that the combination of physical gold with Bitcoin’s security has crucial advantages. He explained that the DGLD token brings together the stability of global most sustainable asset, gold, with the security of the global most resilient network, Bitcoin. Masters explained that the project will offer convenience of buying gold for 24/7 as is the nature of digital assets.

DGLD will not be subjected to similar regulatory constraints that comes with gold-backed investments like exchange traded funds. Reportedly, the token will be governed as a category five asset in accordance to Swiss Financial Market Supervisory Authority guidelines on stablecoins. The category is a preserve of crypto assets backed by properties.

Marwan Shakarchi, MKS president, stated that given the minimal regulatory constraints, the project has the capacity to alter how gold is used on a daily basis.

According to CoinDesk, the token is now available and can be accessed by both individual and institutional investors and can be accessed in more than 200 nations on Blockchain’s cryptocurrency exchange, The PIT.

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Joseph Kibe
Joseph Kibe
Joseph is a blockchain and cryptocurrency enthusiast, with a strong conviction that exposure of blockchain technology is for the good of the society. Fascinated by the massive potential of cryptocurrencies and the technology behind them – blockchain – Joseph spent lots of his time learning more about the industry, becoming a polished expert writer in the sector. He covers any cryptocurrency and blockchain related content.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,467FansLike
2,795FollowersFollow
4,193FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Ethereum Layer 2 Solution, SKALE Network, Launches Its Mainnet Phase One; Staking & Bounties Start in Early Q3

SKALE - an open-source scaling solution backed by Gemini exchange founders Winklevoss brothers for scaling the Ethereum network - has started to roll out...

Pundi X Integrates PayPal into Point-of-Sale Device, XPOS; Users Can Buy & Sell Crypto Seamlessly

Pundi X, a blockchain firm based in Singapore, has integrated its point-of-solution (PoS) device, XPOS, with PayPal, according to a medium post on June...

Crypto Mining GPU Manufacturer, NVidia Petitions Court to Toss Out $1 Billion Class Action

NVidia has petitioned the California court to dismiss the class action suit made by its investors. The lawsuit against the firm’s top brass alleges that...

Hacker Extort 116.4 Bitcoin from University of California San Francisco (UCSF)

The University of California San Francisco (UCSF) paid a ransom of $1.14 million in Bitcoin after a ransomware attack earlier this month, reported BBC...

Targeting Institutional Investors: SBI Holdings Is Buying a Minority Stake in B2C2 Exchange

A unit of Japanese financial conglomerate SBI Holdings, SBI Financial Services is buying a minority stake in London-based crypto market maker B2C2 for $30...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today