Goldcorp announced on Thursday that it has officially made the first gold deposit in VaultChain, the latest addition of Tradewind, which is a blockchain-based exchange, reported Reuters.
The blockchain company Tradewind uses “a tamper-proof shared ledger that can automatically process and settle transactions using computer algorithms, as part of a system tailored to precious metals that securely identifies participants, registers gold and settles transactions,” as mentioned Reuters.
David Stephens, Goldcorp’s vice president said to Reuters,
“The combination of blockchain and gold is really the first way for investors to directly own gold in a financial instrument with no ongoing administration and storage costs […] that eat away at the value of the gold that you own.”
“There’s now a base from which gold is digitized and that creates all kinds of opportunities for increases in the usage of gold,” he added. “Anything that gives gold more utility has to be beneficial for the price.”
The companies also expressed similar thoughts concerning the evolution of the ancient gold trading market to the digital era.
Matt Trudeau, Tradewind’s President stated: “We believe that our technology will enable gold producers like Goldcorp to overcome existing limitations and move into the electronic age.”