Swiss Company Introducing Metal-Backed Cryptocurrency

As Bloomberg reported, Tiberius Group AG, a Swiss asset management company, is planning to launch a new cryptocurrency, backed by commodities.

The coin will be a standard blockchain-supported Tiberius Coin while its price will be related to the popular metals like precious metals (gold and platinum) or industrial (copper, aluminum, nickel, cobalt, tin). Giuseppe Rapallo who is the CEO at Tiberius Technology Ventures AG, stated for Bloomberg reporters:

“Instead of underlying the digital currency with only one commodity, we have chosen a mix of technology metals, stability metals and electric vehicle metals. This will give the coin diversification, making it more stable and attractive for investors.”

He added that the offer of their coin will stay at $0.70 while the ICO will be held according to Swiss law. Naturally, market price will be then affected by the supply or demand for the metals, forming underlying assets. According to the report, Swiss company opted for the LATOKEN, an Estonian cryptoexchange, to list the coin and mee the necessary regulatory standards at the same time.

Tiberius is an active asset management company, founded in 2005 as a commodities asset management entity while its portfolio under control comprises of approximately $350 million in assets.

Before, there were efforts for metals-based cryptocurrencies, but none of them was successful. In relation to commodities, September was rich for event as e.g. the Swiss-based venture called komgo SA, prepared for its launched still in 2018, is prepared to digitize trade and commodities finance processes in a form of a blockchain-based open platform. In 2019, the platform aims to widen to agriculture and metals.

Moreover, Open Mineral – Swiss online physical commodities exchange – informed about its plans to establish a consortium of mining companies and financial organizations for the purpose of setting up a blockchain-based mineral trading system called Minerac.