CME’s New Gold Blockchain

Note from the CEO:  Well, just when you thought things couldn’t get any bigger after the CME and Cyrpto Facitilites launched two new bitcoin indexes a couple weeks ago, here comes another blockbuster. A digital gold contract on blockchain. I learned a longtime ago in Chicago…..never bet against the Merc.

Mark your calendars for mid-2017 when the 1,000 year-old Royal Mint and the Chicago Mercantile Exchange (CME) collaborate on a “digitized gold offering” to be traded on blockchain. This product code named RMG (Royal Mint Gold) is going to transform trading, execution and settlement in the gold market. Trading spot gold will be forever changed with this collaboration with Royal Gold handling ownership and storing bullion and CME Group developing and implementing the digital trading platform. This is a super great article.

The Royal Mint and CME Group, the diverse derivatives marketplace, are collaborating on a “digitised gold offering” which will be traded on a blockchain – to be made available around mid-2017.

The blockchain-based gold product, called Royal Mint Gold (RMG) will transform the way traders and investors trade, execute and settle gold, said a statement. One RMG will equal one gram of physical gold.

The 1,000-year-old Royal Mint, which is owned by HM Treasury, will issue RMG as a digital record of ownership for gold stored at its highly-secure on-site bullion vault storage facility. CME Group will develop, implement and operate the product’s digital trading platform. Taken together, this new service will provide an easier, cost-effective and cryptographically secure alternative to buying, holding and trading spot gold.”

Source: IBTimes.co.uk