What is the particularity of gold-backed tokens? they are digital tokens whose ownership is recorded in a similar way to cryptocurrencies such as Ether and Bitcoin. In this case, each token represents one troy ounce of gold. Its peg to a physical asset makes it less prone to the large price fluctuations that affect other cryptocurrencies.
The purchase of gold in cryptocurrencies allows you to invest in this asset without the need to physically acquire an ingot. It can be equated with buying an exchange-traded fund that tracks the price of gold, with the difference that investors can redeem them for physical gold instead of just cash, as is the case with ETFs.
Both PAX Gold and Tether Gold, the major gold-backed cryptocurrencies, hit highs on Tuesday following a slide in stock indices. That day, the first reached US$2,071, its highest price in the last three months. Tether Gold, on the other hand, rose to its highest point in a year at $2,076. Since January 1, both tokens are up more than 8%, according to an Arcane Research report collected by CoinDesk.
How to buy in Argentina?
In August 20202, Binance announced that Pax Gold will be available on its platform. Pax Gold (with the token symbol PAXG) is the only regulated digital gold token that is available for trading on Binance and can be traded under BUSD, BTC and BNB pairs.
Another interesting token is ERC.20, AABB Gold. “Asia Broadband, Inc. has created a hybrid cryptocurrency, AABB Gold Token (AABBG), backed by 100% physical gold,” says the company that developed it and continues: “AABBG is not a stable coin, but it has the stable quality of a stablecoin with a token price of 0.1 grams of the current price of gold.” AABBG can be purchased through the AABB Wallet app, available on the iOS and Android store under the name AABB Wallet.
“The AABB Wallet keeps your digital assets safe. No data is collected and transactions are 100% invisible to third parties,” says Asia Broadband and completes: “This preliminary version is intended to increase the circulation of tokens and generate income that can support and stabilize the token price once AABBG is openly tradable on the market.”
AABBG can be purchased through the AABB Wallet app, available on the iOS and Android store.
