In a first, OroPocket, a fintech platform, has announced that it would be tokenizing gold and silver on the Tezos platform. This would be India’s very first gold or silver-based token. Oropocket has also enlisted TX APAC, a blockchain consulting firm to advise them on their Asia business strategy.
XTZGold and XTZSilver
With this development, users will be able to track and verify their holdings independently without the need to consult a notary. The blockchain ecosystem allows for all information to be transparent and accurate. The tokenized assets called XTZGold and XTZSilver are backed by physical gold and silver assets in the ratio of 1:1. These are audited daily by third parties and stored in vaults in the UK, Singapore and Switzerland. With Marsh Ltd. as the insurer and Galmerly Ltd. as the appointed custodian, users can safely invest any amount starting from 0.01 USD.
“We aim to provide the highest security possible for our users and we recognized this strength in Tezos after conducting several trials with various blockchain protocols. Furthermore, its on-chain governance feature reduces the likelihood of forking. Forking happens when there is a disagreement on improvements to a blockchain protocol, resulting in a split of the blockchain, which produces two versions of digital representations of your assets in the network. Users would then have to go through a troublesome process of having to clarify which version is valid. On-chain governance on Tezos avoids this problem altogether and allows sustainable scalability and consistency in upgradability in a constantly evolving technology landscape.”OroPocket CEO, Mohit Madan
Mohit Madan also mentioned that the relatively low transaction fee on Tezos was another key factor that converged with OroPocket’s goal of financial inclusivity by removing heft fees. With OroPocket, users can send silver or gold to anyone across the globe within seconds at a charge of only 0.25 percent fee on all transactions.
OroPocket relies on the OpenDefi protocol
Over the years, OroPocket has been enabling its users to indulge in 100 percent asset-backed banking on blockchain. Users can invest in multiple asset classes on the same platform and also choose from a multitude of financial services. OroPocket relies on the OpenDefi protocol to allow cross-chain value creation and thereby help users get flash loans or yield on their holdings.
With this partnership, OroPocket has emerged as one of the first to converge gold with emerging technology trends. This development has unique implications for India, considering the strong cultural significance attached to gold.