Hong Kong Gold Exchange to Support Blockchain Platform Goldzip

Asia Blockchain Review
May 28, 2019

New digital gold trading platform Goldzip has launched in Hong Kong, supported by the island’s local gold exchange, with an initial US$300 million worth of gold in minimum reserve. The reserve will be guaranteed for three years by members of the Chinese Gold & Silver Exchange (CGSE).

As reported by China Knowledge, the platform’s participating members are currently in audit for their physical gold inventory, in order to verify that each Goldzip token is backed by 1 gram of gold, worth HK$300 (US$38), before the physical gold is then moved into a vault at the exchange.

Goldzip’s mission is to develop an ecosystem through which investors can trade the tokens over crypto exchanges, over-the-counter (OTC) markets, and gold retailers by streamlining and securing gold transfers and payments through the use of asset-backed tokens powered by blockchain technology.

The advantage of using blockchain for precious metals is that it provides a purportedly tamper-proof and immutable ledger, and can help minimise fraud.

The platform has so far managed to integrate 30,000 merchants throughout Southeast Asia and members can sell tokens to the public via retail outlets. Redeemed tokens will be retired to maintain the matching gold to token ratio of one-to-one.  Additionally, Goldzip will soon be collaborating with global payment networks including Visa, Mastercard and UnionPay.

Gold has previously been tokenized using blockchain technology, with Singapore’s Digix Global having issued similar gold-backed DGX tokens in 2018.

Calvin Ng, executive director of CGSE, stated that Goldzip should closely track the spot price, given that the tokens are backed one-to-one by gold reserves. However, he made no mention of the benchmark that Goldzip would reference.

Source: www.chinaknowledge.com


About Asia Blockchain Review

Asia Blockchain Review is the largest initiative for media and community building in Asia for blockchain technology. It aims to connect all blockchain enthusiasts on a regional scale and facilitate the technological foundation of blockchain through a range of group discussions, technical workshops, conferences, and consulting programs.

Our goal is to cultivate and encourage a collaborative community for our members to gather, share their experiences and endeavors in the blockchain space, and brainstorm the potential uses of blockchain technology.

Follow Asia Blockchain Review on:

Related Article
China Races to Roll Out National Digital Currency
Following Facebook’s announcement of Project Libra, China has been more determined than ever to intr...

September 23, 2019

Crypto Exchange Hires Singapore Monetary Authority Veteran as Compliance Chief
iSTOX, a digital securities issuer and crypto exchange, announced that it has hired a 15-year vetera...

September 23, 2019

Isle of Man Issues First Token-Based Supplier License
Blockchain gambling platform FunFair has become the first company to be approved for a token-based s...

September 23, 2019

We provide information about Asia Blockchain Review latest activities as well as global blockchain news and research. Subscribe to our Newsletter now or Contact us