Blockchain technology has made it possible for innovative entrepreneurs and forward thinking individuals to revolutionize a wide range of different industries. While cryptocurrencies such as Bitcoin are one of the most obvious and popular applications of blockchain technology, there are many other ways to leverage the unique decentralized benefits it offers.
One of the most interesting new applications of blockchain technology asset digitization. Asset digitizations allows owners of precious assets the ability to trade their assets via the blockchain, improving liquidity.
In this article, we’ll take a look at a new asset digitization platform that focuses on digitized precious metal assets in the form of gold, called Orebits. We’ll assess the Orebits platform and find out what it does to help you determine whether it’s worth taking a closer look at.
What Is Orebits?
Orebits is a groundbreaking new asset digitization platform that uses distributed ledger technology to manage assets such as gold. Orebits uses Smart Contracts called “Smart Certs” that digitize ownership records to digitize ownership records of recoverable precious metal reserves into digital certificates.
These digital certificates are called Orebits, and allow asset owners to improve the liquidity of their assets. Orebits facilitate financing, private transactions, collateral, or simply for streamlined asset management.
Orebits is based on the Symbiont platform, which is a distributed ledger and smart contracts platform that uses blockchain technology to create new digital asset classes. The Symbiont platform provides an immutable record of organization and provenance for digitized assets, as well as establishing a completely tamper proof repository for documentation that backs the issuance of an asset.
Importantly, the Symbiont platform that drives Orebits delivers a shared backend system that allows multiple trusted parties to share data and logic information in real time.
Orebits function as a digitized representation of the ownership of precious metal and mineral reserves. At the time of digitizing, each Orebit is backed by 5 ounces of gold reserves, which is based on an 80% discount.
Each Gold Orebit derives its value from the price of traded gold, and takes this value from the LBMA AM daily fixing price. The Orebit platform and crypto token is designed for use by investors that are seeking to capitalize on the price movements of gold, while at the same time leveraging the benefits of owning digitized assets based on immutable distributed ledger technology.
The Orebits platform is one of the most unique asset digitization platforms in the cryptocurrency environment, and is definitely worth a closer look if you’re interested in the concept of precious metal based digitized assets.