The Royal Mint of the UK has taken an initiative to issue its very own gold-backed cryptocurrency RMG. What are the advantages and features of the new Blockchain-based coin?
1 February, AtoZForex – The Royal Mint of the UK is a special institution that is responsible for the production of the physical money in the circulation across the UK. It has announced that it plans the launch of its own gold-backed cryptocurrency.
UK Royal Mint to Issue Its Own Gold-Backed Cryptocurrency RMG
The new project of the UK Royal Mint is called Royal Mint Gold (RMG). It is a Blockchain based coin, which acts as a digital representation of gold stored in the vault of the Royal Mint.
The Royal Mint company that sells physical gold is called Royal Mint Bullion. It is the first company to enable customers to hold gold-backed assets on Blockchain. The Commercial Lead of RMG, Tom Coghill has stated that one RMG coin is equal to one gram of gold. He has added the following:
“It’s real gold you’re holding when you’re holding our RMG.”
There was a report recently published by the World Gold Council (WGC). The report has compared gold and Bitcoin. The document mentioned the crazy growth of Bitcoin in 2017. However, the report concluded that gold would still remain an important store-of-value instrument.
Is gold more stable than Bitcoin?
Mr. Coghill has further stated that Bitcoin investments appear more uncertain than those in gold. He has stated:
“Gold has probably had an argument that it’s been a store of value for 6,000 years, bitcoin’s a bit younger and the future of bitcoin is uncertain.”
In fact, the Royal Mint Gold project has been revealed by the Royal Mint back in December 2016. The UK is not the first and only country to create such type of cryptocurrency.
Just last week, the local media sources from Australia stated that the largest precious metal finery in the country has plans to develop its own cryptocurrency backed by physical precious metals. The name of the refinery is Perth Mint.
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