RMG – Partnering with CME Group
A short history of digital gold currency
The idea of having a digital currency to replace gold has always been appealing for those looking for a better payment system. Just after the internet became mainstream, electronic gold or E-Gold came to be the first digital currency completely backed by gold in 1995. During the times of its peak popularity, millions of people worldwide were using this service but it was eventually shut down.
There were other attempts to make a 'digital gold currency' before the age of Bitcoin and blockchain technology but none took off so far.
Proponents claim that DGC offers a truly global and borderless world currency system which is independent of exchange rate variations and political manipulation. Gold, silver, platinum and palladium each have recognized international currency codes under ISO 4217.
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Blockchain technology has now been established as a secure accounting method. Moreover, Bitcoin is becoming more and more popular. We can now see that a new era of is coming. -An era of gold-backed cryptocurrency. There is a proverbial gold rush happening now in the crypto world, and many mainstream, companies, even governments and countries are looking to issue their own gold-based cryptocurrency. Now, it is quickly becoming a "digital gold-rush!"
The New Gold Standard
Royal Mint Gold or RMG is an innovative new gold investment product coming to the market. It offers new features and is going to offer you zero management and storage costs coupled with direct ownership physical gold. The project was first announced by the Royal Mint in December of 2016.
What makes RMG Unique?
They utilize blockchain technology which enables great efficiency in terms of how it is management and how it is tracked. It’s very important for them to know who's gold they have in their vault. Blockchain technology is indeed a great efficient way to keep track of ownership and transfers, way faster than conventional methods. There is no management fees, no storage costs and no transaction fee when you transact, so it is so much easier. They also promise price transparency so as trading takes on trading platforms, you can have live pricing during trading hours. The distributed blockchain ledger technology ensures accurate and quick verification of transactions.
How Secure is RMG?
RMG is very secure. On top of being on the blockchain which is already an inherently secure and transparent system, they will implement additional security features as well. It’s value is not expected to fluctuate as much as Bitcoin because for every RMG that’s on the network, there’s one gram of gold sitting in their vault. RMG coin holders have the option to request physical gold delivery of their holdings from The Royal Mint. This means that aside from storing your digital money in a ‘cold wallet’, you have an option to get a hold of actual physical gold and hide it in a secure place. Both The CME Group and The Royal Mint and are well-known for integrity and accuracy and both are committed to security and innovation. They have been trading and gold and storing gold for 1100 years for their customers. And ultimately with their partner, CME, which has been trading for at least 170 years in the exchange world, they say they have the compelling proposition forward, where people can feel very comfortable with the security and assurance of the product itself.
RMG is offered in a landmark partnership between the world’s leading export mint, The Royal Mint, and CME Group, the world’s leading and most diverse derivatives marketplace.
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The UK is not the only country creating a precious metal-backed cryptocurrency.
Last week, Australian local sources reported that the country’s largest refinery of precious metals, Perth Mint, has been planning to develop its own cryptocurrency based on physical precious metals.
Kyrgyzstan, a Central-Asian country is planning to issue its own national cryptocurrency, titled GoldenRock. It is also backed by gold.
This is the first such state project of a national digital currency in the countries of the Eurasian Economic Union (EAEC).
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According to the news, local authorities aim to attract more private investors to develop gold deposits. When advancements in gold deposit is realized, GoldenRocks' owners are expected to be able to trade tokens for gold.
The value of the token has not yet been decided by the authorities. The Kyrgyzstan government expect to collect around $5 to $40 million after the cryptocurrency becomes available on the exchange.
Sioronbai Jeenbekov, Prime Minister of Kyrgyzstan, assiged the local state company "Trade House Kyrgyzstan" to handle the project. “Kript NN”, A Russian company, will also be responsible in the creation of the national cryptocurrency of Kyrgyz and will also take charge of GoldenRock's ICO (Initial Coin offering) at the exchanges.
