Ethereum blockchain is an open-source distributed computing platform which offers multiple stablecoin’s these days. Even though stable coins are an evolving concept there have been different approaches to reach it in the market. Similarly, Digix Global is taking a new way to redeem real gold values through Stablecoin. The DGX is completely run on a gold-backed token and it has been even listed at the Tokocrypto which redeems tokens against physical bars of gold.
Digix co-founder Kai C. Chng stated that their system will redeem tokens against bars of gold stored in their vault. He further added that all this will be done in person due to safety protocols and involvement high shipping costs involving a Demurrage fee (that includes storage and insurance). The DGX token is likely to play a vital role in the trading strategy.
Digix tokenizes gold on the renowned platform of Ethereum facilitating the distributed ledger technique with its unique qualities such as immutability, transparency, and auditability applying it to their physical assets. This platform provides an auditable, safe and transparent protocol to leverage Ethereum blockchain peer-to-peer decentralized consensus system.
Currently, there is a sale going on the Digix which will stimulate user activity and gain attraction in the international market. The exchange is will be eating up the fees and hidden charges by the end of this year to increase their number of users, as mentioned by CCN
Can Stablecoins Replace Cryptocurrency?
According to Forbes, the cryptocurrency market as of now is sinking as compared to their last year’s performance in December which was an all-time high in the entire life if virtual currency. Perhaps, their poor market performance has forced the investors to seek new options like stablecoin. This class of digital asset which runs on Ethereum blockchain is growing rapidly in the international market. It would certainly be correct to say that it might replace cryptocurrencies in a longer run.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]