Re: [ANN] Unity Ingot Official Launch - World's First Crypto-Mining Backed Token
I've read the last several pages of this forum and I'm surprised no one has questioned the following:
The White Paper says that until they can earn enough money mining crypto to buy enough physical gold to back each token with $1 worth of gold, they will back the tokens with gold in the ground, by making deals with mining companies that control a sufficient quantity of proven reserves (gold in the ground). This is ridiculous.
There is only one reason that located underground gold is still underground -- it takes a great deal of money to get it, to mine it. Sure, there's value to the mining rights of proven gold reserves, but that value is the price of gold minus all mining costs (uncertain until totalled up after mining). Profit margins are typically slim. And by the way, many proven reserves will remain underground indefinitely, too costly to mine unless the price of gold increases a bit, or enormously, depending.
Bottom line, taking a lease on proven gold reserves isn't going to get anyone anywhere close to backing hundreds of millions or three billion "UNY" or "DID" tokens at $1 of worth of gold per token. This will become apparent when the froth subsides and there's a normal state of price discovery.
The White Paper says that until they can earn enough money mining crypto to buy enough physical gold to back each token with $1 worth of gold, they will back the tokens with gold in the ground, by making deals with mining companies that control a sufficient quantity of proven reserves (gold in the ground). This is ridiculous.
There is only one reason that located underground gold is still underground -- it takes a great deal of money to get it, to mine it. Sure, there's value to the mining rights of proven gold reserves, but that value is the price of gold minus all mining costs (uncertain until totalled up after mining). Profit margins are typically slim. And by the way, many proven reserves will remain underground indefinitely, too costly to mine unless the price of gold increases a bit, or enormously, depending.
Bottom line, taking a lease on proven gold reserves isn't going to get anyone anywhere close to backing hundreds of millions or three billion "UNY" or "DID" tokens at $1 of worth of gold per token. This will become apparent when the froth subsides and there's a normal state of price discovery.
Unfortunately, your wasting your energy typing what you just typed because these fools will read it and come up with some lame excuse to refute what you just stated, which by the way, is a very valid point. I thought that sounded a little strange when I read that myself. But, hey, it doesn't matter because "to the moon, guys!". Right, UNY shills?
BTW, I bet Cryptobonix is going to try and convince everyone that they have palladium reserves in the ground somewhere, too, even though palladium is one of the rarest metals on earth, about 15 times more rare than platinum and 30 times more rare than gold.