Real World Solution: GLD NFT
In the rapidly evolving world of blockchain and cryptocurrency, the concept of real-world assets (RWAs) presents both great opportunities and significant challenges. RWAs include tangible assets such as real estate, commodities, and even artworks. The main challenges of these assets in traditional systems are the lack of liquidity and difficulty in dividing ownership. Blockchain technology attempts to solve these problems.
Another key hurdle to digitizing RWAs is accurately and reliably linking physical assets to their digital counterparts. ORIGYN’s goal is to become the universal standard for RWA certification, and we excel in this area by leveraging advanced technology, a strong governance system with strict controls and audits, and strategic partnerships.
This ensures that each digital representation (such as the GLD NFT) is an authentic and verifiable reflection of its real-world gold asset, the bullion. ORIGYN’s approach not only enhances the trust and security of digital representations of physical assets, but also opens up new avenues for investment and utilization in the global digital economy.
Key Challenges with Real-World Assets
One of the main issues with RWAs is the complexity involved in their authentication, transfer of ownership, and verification of authenticity. Traditional systems rely on paper-based processes that are not only cumbersome but also prone to fraud and errors. In addition, these assets are often difficult to divide into smaller tradable units, making them more difficult for ordinary investors to access. This is especially true for high-value commodities such as gold, whose ownership and trading involve significant logistical challenges and costs.
Entering the ORIGYN dimension, physical particles are combined with blockchain particles to release infinite possibilities through RWA.
ORIGYN is a blockchain protocol that provides a novel solution to the problems associated with RWAs by creating digital twins of these assets, which are digital replicas of physical entities. By linking physical objects to their digital counterparts through tokenization, ORIGYN ensures that every asset can be traded, owned, and verified with unprecedented ease and security.
Tokenizing Gold with Metalor: A GLD NFT Case Study
The power of this approach is exemplified in ORIGYN’s partnership with Metalor, one of the world’s leading gold refiners headquartered in Switzerland, where we collaborated to create GLD NFTs – digital certificates representing physical gold bars securely stored in Swiss vaults.
Each GLD NFT is a direct representation of a specific gold bar and contains details about its weight, purity, and unique serial number, all of which can be verified on the blockchain.
This tokenization process not only simplifies the certification and trading of gold, but also makes it available to a wider audience. Investors can purchase unit gold bars without relying on bank intermediaries, greatly lowering the entry barrier to gold investment.
Unlike gold ETFs, where physical gold is generally not redeemable, GLD NFT holders can redeem their NFTs for actual physical gold, providing a safer and more tangible investment option.
GLD NFTs are real gold thanks to ORIGYN.
Advantages of GLD NFT over traditional systems
1. Full transparency: Every GLD NFT is backed by a physical gold bar, whose details are immutably recorded on the blockchain. This transparency ensures that investors fully understand the assets they hold and can verify the existence and authenticity of their investment without relying on intermediaries.
2. Security and Compliance: The storage and audit processes involved in GLD NFT meet the highest standards. The gold bars are stored by Loomis in Switzerland and audited by KPMG to ensure that all legal and security requirements are strictly followed. GLD NFT owners can even come to the vault for a personal audit to verify that their gold is real.
3. Accessibility and Inclusion: By tokenizing gold and other high-value assets, ORIGYN enables people from unbanked regions to invest in and benefit from global economic assets. The democratization of asset ownership is critical to bridging the financial divide.
4. In addition, scalability is a key feature of the GLD NFT standard in the ORIGYN protocol. In theory, NFTs can be infinitely expanded in terms of quantity and their hosted data. This scalability enables GLD NFT to have a significant impact in the field of gold ownership, further consolidating its role as a key innovation in the industry.
Combining physical objects with blockchain
Our collaboration aims to develop a secure and reliable digital representation of gold in the form of non-fungible tokens (NFTs) - GLD NFTs. Each GLD NFT corresponds to a specific gold bar securely stored in a Swiss bank vault. These assets are not only triple audited by reputable companies such as KPMG, but are also available for personal audit by token holders, ensuring full transparency and trust.
This move is not only about digital innovation, but also about creating a secure, transparent and compliant solution that reflects the physical gold it represents. Each NFT is a certificate of real gold and provides a redeemable, one-to-one claim to the physical asset.
Broaden your horizons
GLD NFT opens up entirely new markets for traditional players like Metalor, enabling them to enter the emerging DeFi space. For the community, it simplifies gold investment, especially for those in regions without bank accounts. Unlike paper gold ETFs that typically lack physical redemption options, GLD NFT holders have undeniable evidence and guarantee of real gold investment.
The ORIGYN Protocol is designed to prioritize security and flexibility, making it ideal for any Web3 company, which is why the GLD NFT standard (part of the ORIGYN Protocol) can be adopted by any company in the Web3 space, with Gold DAO being a prime example.
The creation of Gold DAO, initiated by DAO.Link, recognized the potential of GLD NFT and decided to use it to create a decentralized autonomous organization (DAO) aimed at entering the market by introducing a liquid, homogeneous token fully backed by GLD NFT and real gold.
Gold is traditionally seen as a safe haven for preserving value during times of economic uncertainty, and unlike stablecoins such as USDT, which are typically pegged to fiat currencies such as the U.S. dollar and depreciate over time, gold retains its value.
Additionally, crypto stablecoins lack transparency into their reserves, whereas GLD NFTs offer complete transparency, allowing anyone to personally verify the existence of gold in the vault.
Another compelling argument for a liquid gold currency is the growing adoption of DeFi and blockchain technology in underserved regions, allowing access to global commerce without relying on the traditional banking system.
With these factors in mind, the need for a blockchain-based currency backed by real gold became apparent, and Gold DAO was initially initiated by DAO Link, which established a DAO on the ICP platform to ensure the currency’s perpetuity.
By enabling a community-driven governance model rather than being controlled by centralized interests, Gold DAO attracted over 780,000 ICP to realize its vision.
ORIGYN is the cornerstone of RWA's future
ORIGYN demonstrates the power of blockchain to seamlessly merge the digital and physical, and it not only highlights the practical application of RWA in the blockchain field, but also sets a precedent for future innovation.
With ORIGYN, industries are able to carve their own path to transform their assets into a secure, transparent and easily tradable digital format. ORIGYN is more than just a cornerstone, it is laying the foundation for a new castle in the digital age, proving that the future of asset management and investing is here.
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