There are three key ways in which G-Coin® differentiates itself from other market players in the digital gold token space:
A G-Coin token is a digital title of ownership to one gram of a Responsible Gold™ kilobar.
The most important distinction between G-Coin and other approaches to the tokenization of gold, is that each G-Coin is an allocated, direct title to a gram of gold within a specific kilobar of Responsible Gold.
It is a digital asset in its truest form, due to the direct linkage of the digital token to the corresponding gold kilobar, which is tracked and verified using blockchain technology.
G-Coin tokens are not stablecoins or a cryptocurrency — they aren’t tied to the spot price of gold because they are the price of the underlying, responsibly sourced gold. Thus, they’re more similar to a virtual deed to a car than a stablecoin.
Each Responsible Gold kilobar has an asset card issued by Responsible Gold. The asset card includes the unique identifier and other key attributes, such as blockchain-based provenance and chain of custody records, for that particular kilobar.
Crucially, Emergent Technology & Payments (EmTech) holds a patent for the tokenization of physical assets in a distributed ledger.
Supply chain traceability
EmTech digitizes physical assets and tracks custody transfers through the supply chain rather than paper records, which provides increased assurances of provenance and chain of custody.
The Responsible Gold Supply Chain Application RG SCA provides unprecedented visibility and transparency of gold’s custody tracking from mine to refiner to vault or end user, helping to reduce delays and disputes while allowing ecosystem participants to quickly detect if and when the supply chain has been compromised.
The irrefutable and immutable blockchain records produce dynamic provenance maps which can be accessed by Ecosystem participants and end users (fabricators, investors or G-Coin customers).
Responsible Gold Standards
All supply chain participants meet industry best practice ESG standards documented in the Responsible Gold Standards and evidenced by regular independent audits.
The Standards, specifically developed by EmTech to encompass industry best practice regulatory requirements and environmental, social and governance controls, provide the framework for the gold supply chain and its participants, so that its output can be affirmatively declared “Responsible Gold”.
The Responsible Gold Standards help supply chain participants ensure that gold in the supply chain:
- Is not susceptible to money laundering and financing of conflict and terrorist activities.
- Does not cause or contribute to infringements of internationally recognized human rights.
- Does not contribute to unacceptable health, safety, and labor conditions
- Minimizes impact on the natural environment
In 2018, the Shariah Supervisory Board of Amani Advisors declared that the Responsible Gold Supply Chain, using the Responsible Gold Standards, exceeds Shariah requirements for transparency and ethical trading.
Although physical redemption of Responsible Gold backing G-Coin is permitted under certain conditions, specific restrictions may exist in certain jurisdictions. For inquiries regarding the availability of such feature please contact customer support at firstname.lastname@example.org.
This blog is for informational and discussion purposes only and does not constitute investment, tax, legal or accounting advice. No representation or warranty is made as to the accuracy, content, suitability or completeness of the information, analysis or conclusions provided. As with many other assets, the risk of loss in trading or holding gold or digital assets can be substantial and should be considered carefully in light of personal financial conditions.