Blockchain Gold(market)mine?

The Blockchain revolution is gunning for the gold market, where public online ledgers that emerged from the explosive markets for bitcoin, a virtual currency, already have drawn the attention of businesses.

They see blockchain systems as a revolutionary way to verify and record transactions.

About $27 billion of gold changes hands every day in over-the-counter markets where settlements can sometimes takes days, leaving price risk for buyers and sellers. Using blockchain promises more transparency, security and speedier deals. It also could attract new participants at a time when investors are souring on gold-backed exchange traded-funds, a key source of growth in physical demand over the past decade.

Bitcoin, the first instrument to use blockchain, has more than quadrupled in 2017 to more than $4,000. The crytocurrency this year surpassed the price of gold for the first time.

Still, blockchains won’t solve any problems related to the physical delivery of gold.

“People don’t trust the government, so why would you leave it at the government vaults?”