Cryptocurrencies have various traits and functions that showcase many of the potential uses of Blockchain technology. Bitcoin (BTC) has established a new trustless form of payment, which is also faster, more transparent, secure, and decentralized. But cryptos such as Bitcoin tend to be more volatile in value. These intense price shifts can happen even in one day, an issue that prevents mainstream adoption.
Stablecoins have appeared as a solution to the volatility problems of today’s cryptos. They preserve the main attributes of cryptocurrencies while reducing the disadvantages brought on by instability. Stablecoins copy the price movement of fiat currencies, which are generally perceived to have relative stability.
The stability of these cryptos is due to the fact that their value is “pegged” to other assets, such as fiat currencies, commodities like gold, and even other digital assets.
A stablecoin still works like any other cryptocurrency, as it can be used for fast transactions, has increased scalability and security, as well as more stability.
Gold Secured Currency (GSX) is Apollo Fintech’s gold-backed crypto that offers all the main features of cryptocurrencies with the advantages of a stablecoin.
The coin is native to the Apollo Blockchain, the first blockchain to include technologies such as Database Sharding. Apollo Fintech chose blockchain as the base for their own assets because the technology enables transparent transactions and security due to its decentralized architecture.
The underlying gold to which the stablecoin is “pegged” serves as a solid base from which the coin can be valued, making it less volatile on the market.
Most stablecoins have a backing of 1:1 of only one asset, but GSX is also backed by the mines, refineries, and properties of the Apollo company. By having larger collateral, the GSX coins thus benefit from more stability.
While Gold Secured Currency works mostly like stablecoin, it has added a unique mechanism that increases its value through the company’s infrastructure expansion, which involved buying new gold-rich lands and precious metals. This means that the value of the coin can never be less than the value used in backing one GSX.
Because of this, it is the only stablecoin that will constantly grow in price, as the company will buy more valuable assets, such as lands with golds and refineries.
They want to provide an all-encompassing company that offers exchange, trading, and investment services for governments, businesses as well as individuals.
Crypto dividends are a passive form of income which is given to users for holding or staking a crypto coin for a certain period of time. In addition to the fact that GSX fulfills various transactional roles within the company, the coin is also used to pay the GSX holders’ dividends.
Holders of the coin will act as passive investors, and they will not directly impact company decisions, but they will have rights of the trust that manages the gold-rich lands. Even if the lands will be sold, the GSX holders will still receive the profits made from that sale.
Apollo Fintech currently holds in its possession 3,000+ acres of platinum and gold-rich lands. The main focus of the company will be mining these lands. The expansion of Apollo Fintech’s infrastructure will directly impact in a positive manner the growth and stability of GSX. The company will reinvest half of the value of the mined gold to back up the GSX coins, with the other half being used for dividend payments.
Apollo Fintech will schedule audits with third parties that will verify the company’s gold reserves. The results of the audits will be transparent, and all holders of GSX and potential investors will be able to access the information regarding the backing situation.
The GSX coin was intended to provide a cryptocurrency that is better suited for conventional forms of exchange but with the added advantages of a reward system and constant price growth.