The Covid-19 pandemic has inarguably taken a toll on the global economy. Traditional investments are taking a hit, and companies missing their target earnings. The International Monetary Fund has termed the situation as the worst recession from the time of the Great Depression. The global crisis has seen investors struggle to find the best investment options, and cryptocurrency is among the viable options for some investors.
Although cryptocurrencies are not prone to inflationary effects due to their controlled supply, they still have aspects that make them risky investments. Stability has been among the main issues, but blockchain companies are now coming up with stable coins that are unlikely to lose value. Apollo Fintech, an African based blockchain company, is introducing Gold Secured Currency, GSX. The GSX coin bears unique characteristics, including a perpetual increase in value, making it the safest cryptocurrency for investing.
GSX as a Stable Coin
A stable coin refers to a class of crypto coins that attempt to tackle the volatility associated with the prices of first-generation cryptocurrencies. The coins achieve this by having reserve assets to back them. GSX is, therefore, a stable currency backed by gold reserves and precious metal-rich land. However, unlike other stable coins, it features a unique mechanism that ensures that the coin maintains its prices and increases in value. It leverages the characteristics of a stable currency with cryptocurrencies and investment coins.
GSX Gold Backing
Backing cryptocurrencies ensures they maintain their prices. However, the inability to increase in value like other crypto projects has been a concern for stable coins. Different crypto assets have, in the past, been backed by real assets and fiat currencies such as the Euro and US Dollar. Apollo Fintech chose to support their new coin with their precious metal mining projects. The company currently has the rights to over 3,700 acres of valuable metal-rich land in Zimbabwe, including platinum and gold.
Zimbabwe is said to be the second largest country in the world in terms of gold-rich reserves, and Apollo plans to increase its land reserves in the country continually. Gold is an attractive investment asset, and it tends to perform best when the stock market seems to be crumbling. According to Apollo Fintech’s GSX Whitepaper, the price per ounce of gold rose from $1,500 to $1,680 between December 2019 and February 2020. Besides, the reserve will comprise of the gold mined and land, which also has the characteristic of a perpetual increase in value.
The coin is currently on pre-sale, with a coin valued at $0.046. Investors can earn up to 50% bonus by buying at the GSX website. Moreover, the company targets to sell 10 billion coins and burn the unsold coins to back the assets that join the market.
Perpetual Increase in GSX Value
Apollo Fintech has the best backing for its coin, but its mechanism of ensuring a continuous increase in value is the most attractive for investors. It will be the world’s first crypto project with perpetual growth. The company currently uses part of its income from products to purchase more gold-rich land, which means the coin’s backing will always be on the rise.
Furthermore, Apollo will be directing half of its income from gold mining operations after expenses and expansion towards the gold reserve to back their new project. The increase in the value of the reserves will automatically impact the price of GSX since the coin can never fall below the value of the assets backing it. Gold is currently valued at over $1,800 an ounce, and the prices are still increasing.
Investing in GSX will turn the coin holders into shareholders. The holders will have full rights to the vast property owned by Apollo Fintech, including the gold mines and mining rights. As half of the mines’ income goes to increasing the coin reserve, the other half will be distributed to the shareholders in the form of dividends. Furthermore, shareholders will be entitled to the proceeds arising from the sale of any of the company’s assets.
Investing in GSX guarantees growth in the value for your coins, and at the same time earns you yearly dividends. Also, holders have no restrictions on their holdings and can redeem them at will. Redeeming shareholders will get the equivalent gold value.
Although the first cryptocurrency came up over a decade ago, a significant population is yet to understand the working of the digital assets. Therefore, trust can be a hindrance to potential investors. Like in other cryptocurrency investment projects such as Initial Coin Offerings, investors need to ascertain the gold-backing reserves’ existence. Apollo Fintech takes into account investors’ security and will allow third-party auditing of their assets. Third-party auditors will regularly check the assets and make reports available to the public.
Potential investors will have access to information on the asset valuation and remain informed about their investment safety.
Investment decisions are usually centered on the returns, which makes GSX better than ordinary stable coins. Stable coins can maintain their value based on the type of backing they have but do not guarantee an increase in price and a consequent profit. Apollo Fintech, therefore, positions its new coin as the best and safest coin for investors. The mechanism for increasing value is unique, and a profit is almost guaranteed.
Investors can redeem their GSX holdings at the prevailing gold prices, which will be higher than the initial coin price, after a period of earning dividends and entitlements from possible asset sales. Besides, it will be the world’s first coin to award bonuses.