DigixDAO (DGD) has launched the Digix Gold Tokens (DGX) on the ethereum mainnet, a gold backed token that brings the relatively low volatility rates of gold to the cryptocurrency market, making it more stable and usable for a variety of cases which consumers and investors in digital currencies would otherwise shy away from due to the high volatility rates common with the digital coin technology. The token has been designed such that a unit is equivalent to 1 gram of gold and aside from using them as a medium of payment, DGX token holders also get the option to exchange their tokens for actual gold.
Despite being the primary product for the company, DGX tokens were initially not available for the public who could only purchase DigixDAO (DGD) tokens, which give holders of the token ownership and voting rights in DigixDAO, the company behind the development of the Digix Gold Tokens (DGX). DGD is therefore like the shares in a traditional company. Its performance is therefore linked to how much the Digix Gold Tokens are used just like a company’s shares depends on how well its products perform.
The DGX tokens will be available for purchase from April 8th and registration for whitelisting starts today Monday, march 26th. DigixDAO has since partnered with traceto.io, a company that blends artificial intelligence and smart contracts to provide Know Your Customer solutions to companies that use blockchain technology. Traceto.io will facilitate the registration of members joining the platform and using the DGX tokens for more safety and securities of the users. The release is however being limited to all markets except in the US, Japan and China where the regulatory framework is considered uncertain but efforts are underway to bring DGX into these once their regulatory environment becomes clearer. Being the 3 largest economies in the world with a combined GDP of over 36.2 trillion USD (48% of the global GDP) and being among the countries with high adoption rates for technology, these are key markets that offer great opportunity for the token’s growth in future.
DigixDAO is also currently being taken through an audit and development in order to improve its governance model and members of the community are encouraged to participate in the process in order to make it more efficient and reliable.
DigixDAO (DGD), available for trade on a number of exchange platforms such as binance, HitBTC, Liqui among others, is currently exchanging at 335.59 to the dollar, 0.0397 to the bitcoin and 0.6426 to ethereum. With a market capitalization of 671 million USD, it ranks 26th on the coin market cap rankings. The token has 2 million units in circulation and has had over 1.27 billion USD worth of units traded within the last 30 days. DigixDAO, built on the ethereum blockchain, is looking to leverage on the platform’s technology, allowing for use of smart contracts with ease, as it places itself to be among the leaders in enabling for decentralization and optimization of almost all kinds of social interactions.
Through the Digix Gold Token, DigixDAO (DGD) aims at providing a more stable unit of value with minimal volatility which can be used for retail, salaries, trade, wealth management among other use cases, a reserve of the traditional fiat currencies. Its designed as an EIP20 token giving it the flexibility to blend with future smart contracts yet to be designed and the capability for it to be used as a benchmark for the development of other types of tokens and financial instruments.