Digital asset banking platform SEBA is providing a stablecoin that serves as a token for digital possession of gold.
- The token will probably be backed by physical gold, “ready for any time on-demand delivery,” SEBA introduced Wednesday.
- The Zug, Switzerland-based agency mentioned the token differs from different gold by-product funding merchandise, reminiscent of exchanged-traded funds (ETFs) or over-the-counter (OTC) contracts, as a result of traders can redeem the bodily metallic at any time.
- The token may also be used as a compliant stablecoin in buying and selling or act as a retailer of worth, SEBA mentioned.
- Stablecoins and different digital property backed by bodily redeemable gold aren’t new, nevertheless, with New York-based alternate Paxos introducing one in September 2019. According to CoinGecko, PAX Gold (PAXG) has a daily trading volume of slightly below $11.7 million.
Read extra: SEBA Bank Introduces Program for Clients to Earn Yield on Crypto