gold /diamond/usd backed crypto advise please

[lh604622]

so i have a friend who is a millionaire luckily , he lives in a country where he mines gold and diamond. Of course he has usd also. I was thinking can he create a crypto and back it to any of these? IF u think its profitable let me know thanks .

 

[razharov]

so i have a friend who is a millionaire luckily , he lives in a country where he mines gold and diamond. Of course he has usd also. I was thinking can he create a crypto and back it to any of these? IF u think its profitable let me know thanks .

Could you please explain what you want?

Its impossible to tell from this, what you want.

 

[lh604622]

i have a friend that has a large quantity of physical gold. i was thinking of telling him to make a gold backed coin is it profitable

 

[Cypherpunk Zero #4027]

It seems like a bad idea. If he is in control of printing or deleting the tokens, how can we trust the guy/company? Let's say he generates 1 GOLDCOIN = 5 grams of literal gold. What stops the guy to print infinite tokens without proof of gold? What if he doesn't lock the physical gold like promised?

 

[razharov]

It seems like a bad idea. If he is in control of printing or deleting the tokens, how can we trust the guy/company? Let's say he generates 1 GOLDCOIN = 5 grams of literal gold. What stops the guy to print infinite tokens?

Congratulations you just described why 99% of crypto is scam

 

[lh604622]

well he has no isssues being monitored. U do know that what all the other stable coins do. This guy however has huge goldmines gold just sitting .

 

[Cypherpunk Zero #4027]

well he has no isssues being monitored. U do know that what all the other stable coins do. This guy however has huge goldmines gold just sitting .

There's no point forcing it. We have Bitcoin with the same purpose

 

[lh604622]

so the plan is to make an exchange with lower leverage fees, use the gold backed coin to loan as leverage making profit these exchanges charge too high fees

 

[lh604622]

Congratulations you just described why 99% of crypto is scam

no issues being regulated or monitored or audited

 

[kalpana007]

so i have a friend who is a millionaire luckily , he lives in a country where he mines gold and diamond. Of course he has usd also. I was thinking can he create a crypto and back it to any of these? IF u think its profitable let me know thanks .

You and your friend have no idea about how crypto works. So if you start this, hire some smart advisors with experience in this field.

 

[lh604622]

well thats why we are discussing first. But there are gold backed coins ,we just want to do the same since we have access to cheap gold.

 

[Aunit365]

The only ones I trust are Paxos (https://paxos.com/paxgold/) and Tether (https://gold.tether.to/) .

I'm sure there are others out there but those two are some of the longest standing players in pegged assets.