Gold has always being a sought-after asset for investors and consumers alike; for investors — it provides a means to grow their investment over time and serve as a store of wealth, for consumers, however, it provides one of the finest materials for making luxury items — from cars to wristwatches, jewelry, and other Veblen goods. These have served to further increase the demand for the precious metal.
Gold over the years has proved itself a worthy investment. Over the past ten years, it has appreciated in value by over 97% making it one of the most desired items for luxury goods collectors.
DISADVANTAGES OF GOLD
At the first part of this article, we can see many advantages of gold. Nevertheless, there are some disadvantages. So, what are gold disadvantages?
- Storage: Gold is physical; therefore, it is difficult to store safely and you need a good and secured place to store. Even if you can store, you have to store it with the anxious of robbery.
- Purchase or Sell: because it is physical, hence it is also inconvenient when you bring your gold to store every time you want to buy or sell gold. On the other hand, not every store is 100% honest with you because of their profit. For instance, they will not sell or buy real gold value that you have.
- Security: High storage of gold can be dangerous for you.
Investing in Gold
Gold has some significant disadvantages like its storage problem. If you invest into Gold you have to store your Gold somewhere, where it is protected and safe.
Another aspect is the thing that one can not travel with 100 kg of Gold in your bags.
There are different possibilities to invest in Gold:
Gold Certificates
Certain financial certificates reflect the gold price, but are not deposited with physical gold. If the issuer of the investment becomes insolvent, the investor is at risk of losses up to and including total loss.
ETCs
Exchange Traded Commodities (ETCs) are bonds that securitize the value of a certain amount of gold and often include a right to the physical delivery of that gold. There is also a risk of the issuer going bankrupt, because investors may then have to enforce their claims in court.
Gold shares
Investments in the shares of gold mine operators are also considered a form of investment in gold. However, not only the gold price is important for the price development, but also other factors such as the entrepreneurial skills of the respective operator and the overall development of the stock markets.
Digital Gold
This is the reason why Digital Gold (https://gold.storage/de/home) came up with its Gold-token. Each Gold token is backed up by 1 ounze of 1 Gramm Gold — 99,99% Gold.
Each GOLD token is 100% covered by physical gold, which is kept in a secure vault.
The Gold.storage website allows the GOLD token holders that an unlimited amount of GOLD can be bought/exchanged immediately and at any time on their website this means GOLD token can be sold at any time.
Advantages
First you do not need to worry where to store your gold if you have larger amounts of gold ounzes. Your storage costs and service costs, compared to the cost of storing gold at a bank, are significantly lower.
Secondly, it solves the problem of travelling with gold — Basically, you just need to have your private key with you.
The GOLD-Token is an ERC20 token which menas it is based on the ethereum blockchain. Therefore you only need the private key for your eth wallet in order to access you gold.
Lastly, in case you need your Gold in physical form you can get back to the gold.storage website and trade your tokens for physical gold at any given time.
Where can you get GOLD- tokens
DigitalGold is now listed on BitForex, Livecoin, Cryptex exchange.
Gold token ensures asset safety as it is backed by tangible gold and has the potentials of bringing more investors into the gold market, since security concerns are no longer there. A good majority of people who invest in gold do not prefer to store it in their homes because it is very risky to do so.
Digital gold platform offers a repository where stored gold can be safe-kept in a vault and tokens is given to investors. The digital gold is so secured in a way that it can not be hacked because it uses the blockchain technology. Additionally, investors gain because increase in value of the gold reflects immediately on the token that they hold. A very dynamic smart contracts on the platform marries each token purchased by 1 gram of 99.9% pure gold. This is the focal point of Digital Gold platform.
Interested in breaking free of the shackles of being an employee? Are you seeking to become a high net-worth individual? Why not find out more about DIGITAL GOLD, read the Whitepaper, or join the online community on Telegram, Twitter, or Facebook.
Here is the link to the DigitalGold website: https://gold.storage
Link to the authors BTT account: https://bitcointalk.org/index.php?action=profile;u=946129