Vaultoro.com, a bitcoin gold exchange, started its trading platform last month, facilitating its customers to directly exchange their bitcoin for gold and back on an entirely independent basis.
"Gold protects people against the price volatility of bitcoin without them ever having to go back into fiat currencies, which is attractive to a large number of the Bitcoin community", the company announced in a press release.
Co-founder Joshua Scigala launched the exchange following the failure of Mt. Gox, and he wanted to build bitcoin exchange which was fully auditable so that the finances of the users can be protected.
"Transparency and having glass books is the number one priority for Vaultoro... The blockchain has given us the perfect tools to enable total transparency, easily giving creditors absolute proof of solvency. Sadly the Bitcoin community needed the Mt. Gox fiasco to force a change in mindset... In a post Mt. Gox world, the free market is demanding higher transparency and Vaultoro is an example of the next generation of fully transparent exchanges."
The customers' gold is stored in the Swiss banks vaults, which are run by Pro Aurum, one of the top physical precious metal dealers. A weekly report will be submitted by Pro Aurum to Vaultoro regarding the total amount of gold held by the members.
