Source: thedailyeconomist.com
Today IEG Holdings announced that they were in negotiations to purchase a gold project which would become the collateral for a gold backed cryptocurrency. This new crypto will be regulated by the SEC, so it will not be decentralized.
Their plan is to create a currency that will be used to offer loans and they would accept the currency for loan repayments. They believe that by combining the blockchain technology with a hard asset backing will create a more stable cryptocurrency. One obvious benefit will be that the crypto will meet the requirements for use in IRAs, hedge funds and 401k's.
I was reading about this last night and I've just been writing about this and other gold-backed crypto's this morning.
Resteemed.
What have you concluded, are gold backed cryptos a good thing. I'm still on the fence.
Almost certainly a good thing but not for everyone. Check out my post here: https://steemit.com/steemsilvergold/@unclehermit/is-this-the-crypto-gold-you-ve-been-looking-for
Gold backed crypto, Very interesting thanks for sharing great information!
I would feel more secure with a crypto backed by something. Thanks for reading
Excellent idea if you leave out the SEC
Good point.