Unodax introduces Gold based PAXG Trading
PAXG offers a gold-backed cryptocurrency token which is backed by one fine troy ounce (t oz) of a 400 oz London Good Delivery gold bar, stored in Brink’s gold vaults.
In India, we are no strangers to investing in gold — our reverence for gold goes back centuries in time. We’ve been blessed with reserves of the noble metal in the country, although it is greatly coveted and has been extracted for use by those who could afford it in the form of ornaments, coins and biscuits. The foremost reason people choose to invest in gold is its liquidity, and following it closely is its value appreciation.
Popularly called ‘gold bugs’, investors who are exceedingly keen on gold, have long been seen as a minority in the financial world, holding this golden asset as a hedge against disaster. But lately, they have started to look rather wise. This year, gold is one of the best performing among traditional assets — its price just topped $2,000 an ounce for the first time. Seasoned investors and those who dabble in finances, all seem to have been made aware of its virtues. On a popular online trading platform, the number of users in two of its largest gold funds has tripled since January 2020.
Historically, the price appreciation of gold is closely linked to inflation and interest rates — gold tends to do well when interest rates fall below the rate of inflation and is thus looked at as a very good measure to counter inflation. Besides, gold appears relatively cheap to investors, given the valuation of stocks well above their long-term average.
In the context of things discussed above, let us introduce PAXG, the new and emerging crypto gold recently introduced on the Unodax platform. PAXG offers a gold-backed cryptocurrency token which is backed by one fine troy ounce (t oz) of a 400 oz London Good Delivery gold bar, stored in Brink’s gold vaults. Launched in September 2019, the fintech company Paxos opted to allow users to own gold with the added benefits of a digital token such as speed and mobility. The instrument is backed by professional gold vaults in London, making PAXG redeemable for physical LBMA accredited gold. Needless to say, the trade-off is that the token is a custodial solution, meaning that purchasing the token is essentially an IOU (I-owe-you) of physical gold, which can be redeemed by London’s gold vaults. Trade and invest in PAXG today, visit our exchange https://www.unodax.com/exchange/inr/paxg to trade PAXG.
