Protecting Gold with Blockchain?

[Severos]

First, I'd like you guys to take a look at this: https://www.youtube.com/watch?v=8nrVlICgiYM

That project made me wonder, why not use the same concept to protect gold in its various forms (bars, jewelry, etc.), of course, this should be adopted by governments to succeed.

The core idea is that every piece of gold would carry a digital signature, much like the certificate you get when buying gold. Those signatures are tracked as crytpo assets on the blockchain along with other meta info that describe the item, so when you want to buy gold you know exactly what you're buying.
Also, if your gold is stolen, they can't sell it since they don't have the crypto keys to transfer the owner of this item, with the help of government regulations it'll be much easier to find stolen gold.

What do you guys think? other than that I'll need to write proper document explaining the idea along with steps of implementation and technical documents, how would I start with it?
I believe in the potential of this idea, it's just a problem of how to get it started, since it won't work unless governments support it :/

[1714152299]

1714152299

[1714152299]

1714152299

[1714152299]

1714152299

[1714152299]

1714152299

[hugeblack]

The idea is great, but if we look deeper:

 - Gold has value other than value as an asset, so it is possible to dissolve gold and reuse in things such as women's accessories, industry, medical purposes or selling in the black market.
 - Gold is one of the secrets of countries, so the use of a technology based on transparency such as blockchain threatening to reveal those secrets.

In general, blockchain technology can play an effective role as a protection for such assets

[shield132]

First, I'd like you guys to take a look at this: https://www.youtube.com/watch?v=8nrVlICgiYM

That project made me wonder, why not use the same concept to protect gold in its various forms (bars, jewelry, etc.), of course, this should be adopted by governments to succeed.

The core idea is that every piece of gold would carry a digital signature, much like the certificate you get when buying gold. Those signatures are tracked as crytpo assets on the blockchain along with other meta info that describe the item, so when you want to buy gold you know exactly what you're buying.
Also, if your gold is stolen, they can't sell it since they don't have the crypto keys to transfer the owner of this item, with the help of government regulations it'll be much easier to find stolen gold.

What do you guys think? other than that I'll need to write proper document explaining the idea along with steps of implementation and technical documents, how would I start with it?
I believe in the potential of this idea, it's just a problem of how to get it started, since it won't work unless governments support it :/

Great idea! What can I say more 😃
I think it will be better to get help on writing introduction from someone who has more experience in academic writing.
I know BitFury is involved in blockchain technologies very much, they created great project in Georgia which contains registration of houses and etc in blockchain. I think your best bet is to colaborate with them.

[Severos]

The idea is great, but if we look deeper:

 - Gold has value other than value as an asset, so it is possible to dissolve gold and reuse in things such as women's accessories, industry, medical purposes or selling in the black market.
 - Gold is one of the secrets of countries, so the use of a technology based on transparency such as blockchain threatening to reveal those secrets.

In general, blockchain technology can play an effective role as a protection for such assets

For your first point, it's still useful to have it on blockchain, how? when you have gold asset (or any other precious metal), you can "destroy" it to create other asset(s) that have same total value (at max), so even when you're transforming accessories (melt a ring to make another) it's still recorded on the blockchain, as for other industrial and medical uses, they should be able to destroy the asset(s) without creating new assets, of course in the case of recycling facilities that extract gold from industry equipment, they would have to manually register the extracted gold as assets at a government office for example. Finally, for the black market, isn't the whole idea of this is to make gold moving transparent and prevent black market activity at first place? so if you try to sell some gold to black market without moving the asset on blockchain, government can catch corrupted employees/companies since if they do check up there will be missing gold that isn't reported.

For the second point, I'm not well informed in general stuff, but I guess in this specific application we don't need to register all the gold in the country reserve, only gold that goes into trading is required to be registered in order to track its movement.

[Severos]

Great idea! What can I say more 😃
I think it will be better to get help on writing introduction from someone who has more experience in academic writing.
I know BitFury is involved in blockchain technologies very much, they created great project in Georgia which contains registration of houses and etc in blockchain. I think your best bet is to colaborate with them.

What do you think I should include in the paper when contacting them? and would it be possible for me to make sure they won't discredit me?

[Patatas]

Problem with this idea is,
 - It will open up a huge black market of gold dealers who'd just avoid the blokchain way.Such markets will buy/sell gold illegally and for a much higher price.
 - This may also impact the prices of gold as an asset.Imagine what if the huge chunk of gold is dealt with illegally.

Moreover certificates on the Gold are country wise unique aren't they ? On the blockchain,they all will follow the princile of distributed ledger ?

[Bitcoin2018]

First, I'd like you guys to take a look at this: https://www.youtube.com/watch?v=8nrVlICgiYM

That project made me wonder, why not use the same concept to protect gold in its various forms (bars, jewelry, etc.), of course, this should be adopted by governments to succeed.

The core idea is that every piece of gold would carry a digital signature, much like the certificate you get when buying gold. Those signatures are tracked as crytpo assets on the blockchain along with other meta info that describe the item, so when you want to buy gold you know exactly what you're buying.
Also, if your gold is stolen, they can't sell it since they don't have the crypto keys to transfer the owner of this item, with the help of government regulations it'll be much easier to find stolen gold.

What do you guys think? other than that I'll need to write proper document explaining the idea along with steps of implementation and technical documents, how would I start with it?
I believe in the potential of this idea, it's just a problem of how to get it started, since it won't work unless governments support it :/

How connect unmaterial digital signatures and material gold, I think that it is mistake that crypto can protect gold or diamonds. Just wait and we will see that this will create more fraud.

[Severos]

Problem with this idea is,
 - It will open up a huge black market of gold dealers who'd just avoid the blokchain way.Such markets will buy/sell gold illegally and for a much higher price.
 - This may also impact the prices of gold as an asset.Imagine what if the huge chunk of gold is dealt with illegally.

Moreover certificates on the Gold are country wise unique aren't they ? On the blockchain,they all will follow the princile of distributed ledger ?

I don't see what exactly is stopping black market dealers right now??

As for the certificates, this project could be implemented both per country and internationally, since it's hard to make a global certificate across all country, each country can implement their own asset and either accept/deny other countries' assets, the process could require manual acceptance from an assigned employee.

[Severos]

How connect unmaterial digital signatures and material gold, I think that it is mistake that crypto can protect gold or diamonds. Just wait and we will see that this will create more fraud.

The gold asset (jewelry, bars, coins, etc.) would have a QR code (asset ID for example) on it containing its description, just as it carries the mark of manufacturer (in case of jewelry), you'd be able to track the history of this asset and verify its meta data and real owner.

[kwabeedat]

I think that would be a very nice idea. I hsaw a post on Twitter today that a Spanish Bank has started using blockchain technology to secure loans for users. Blockchain is actually the next future

[Vod]

The core idea is that every piece of gold would carry a digital signature, much like the certificate you get when buying gold.

Also, if your gold is stolen, they can't sell it since they don't have the crypto keys to transfer the owner of this item, with the help of government regulations it'll be much easier to find stolen gold.

What would create the signature in the gold?

Why couldn't I simply dissect or melt part of the gold to change the signature?

[Severos]

The core idea is that every piece of gold would carry a digital signature, much like the certificate you get when buying gold.

Also, if your gold is stolen, they can't sell it since they don't have the crypto keys to transfer the owner of this item, with the help of government regulations it'll be much easier to find stolen gold.

What would create the signature in the gold?

Why couldn't I simply dissect or melt part of the gold to change the signature?

If you remove the gold signature then you've essential detached the piece of gold from blockchain, which means you won't be able to trade that gold any more (given that government enforces the blockchain).
If you're talking about changing the signature to match another existing signature so you can scam someone, it won't work, you certainly will show a signature that exists on blockchain and the buyer can validate it. However, when you try to sell it, you don't have the private key to transfer the ownership of this asset to another person.

[NOIZchain]

This is a very cool idea. As gold is the representation of all fiat value, if all the gold in the world were connected to a blockchain and that blockchain created a cryptocurrency, would that cryptocurrency become a new fiat?

As one user above mentioned, altercations to the gold can be registered on the blockchain as well, but people would need to comply with this (giving their gold item a type of legitimacy). However, as another user mentioned the idea of the black market and gold being traded there. This is already happening today, and yet gold still is the main source backing fiat currencies.

So why would the idea of securing gold through a blockchain while also setting up a cryptocurrency not have the same power, the same representation, of paper money?