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NEW YORK (InsideBitcoins) — Many long time gold investors and Bitcoin fans are finding common ground over their mutual negative view of the U.S. Dollar. Quite a few enthusiasts from both camps believe that the Dollar is a disaster waiting to happen.
They both cite the Federal Reserve’s so called “stimulus programs” like quantitative easing and the Treasury’s multi-trillion dollar deficit as evidence of the dollar’s inevitable demise. However, they both have different solutions to the problem.
Gold bugs insist on what is known as “the” hard currency from ancient times and demand physical possession of their favorite metal in bullion and bars, its most popular investment forms.
Bitcoin believers however, say that the concept of a decentralized crypto-currency with the ability to securely transfer and transact any amount internationally and anonymously is “the” answer for a modern mobile world. Now investors have options to do both.
Recently, San Francisco based digital payment network Ripple announced its partnership with precious metal provider Gold Bullion International (GBI) in a deal that would allow investors to buy Bitcoins that are backed in physical gold.
Steven Feldman, GBI co-founder and CEO, said via Ripple’s blog, “We have been leaders in combining technology and precious metals, and our integration into Ripple allows us to continue our push into digital currencies by enabling investors to now buy digital physical gold.”
Ripple is an open-source, distributed payment protocol that enables free and instant payments in several currencies with no chargebacks. With this technology you could purchase Bitcoins with gold or vice versa at any location that accepts the Ripple payment network.
Anthem Vault, Inc. of Las Vegas, NV is one of a growing group of precious metal companies that recently announced they’re accepting Bitcoin for gold.
Netagio of the U.K. is the first British Bitcoin, gold, and sterling exchange according to its website. They also accept deposits in multiple currencies, gold, sterling, and Bitcoin.
DNA Precious Metals Inc. of Quebec recently announced that, “it has formed a wholly owned subsidiary under the laws of the State of Nevada called DNA Crypto Corp. The new subsidiary will seek to identify the best cryptocurrency mining opportunities in the U.S. and Canada.”
It will be interesting to see how the interconnection of these supposedly competing currencies will affect market prices. Even long time gold pundit and financial analyst Peter Schiff is reversing course from his comments last year that “Bitcoin was a Ponzi-scheme”. His firm investment firm, Euro Pacific Capital, recently announced it will now gladly accept bitcoins as payment.
Written by Darnell Jackson