Physical gold; Credit: VNX

Luxembourg-based digital asset investment platform VNX Exchange has announced the launch of the first European regulated platform for investment into tokenised precious metals.

VNX has launched its platform for efficient management of precious metal transactions with digital tokens. The first tokenised precious metal on the platform is VNX Gold, based on Ethereum, representing an ownership stake in a physical gold bullion certified by the London Bullion Market Association (LBMA). A unique serial number stamped on each gold bar links it with the respective VNX Gold tokens, which are available on the VNX platform under the ticker VNXAU.

Gold has persevered as an inflation hedge, historically bringing stability to investors during market volatility. It continues to do so now, as it trades at its highest price since June 2021.

VNX platform allows users to purchase tokenised gold in the form of VNX Gold tokens using euros, Ether or Bitcoin from anywhere around the world in just a few clicks. Each VNX Gold token represents ownership of one gram of physical gold and offers investors all the advantages of its underlying commodity merged with the flexibility of a crypto asset. Users can transfer their VNX Gold tokens to any Ethereum wallet while the physical gold is stored in a VNX vault in Liechtenstein with full insurance and zero storage fees. Holders can also collect their physical gold or receive a minimum of one kilogram of gold via global delivery.

Compliant with the Liechtenstein’s Tokens and TT Services Providers Law (TVTG, also known as the Blockchain Act) and regulated by the Financial Market Authority (FMA), VNX internally carries out all necessary tokenisation services. The VNX platform is Know Your Customer (KYC) and anti-money laundering (AML) compliant, providing the institutional grade standards of investor protection for a reliable hedge instrument for crypto investors. The VNX centre of technology and platform development is based in Luxembourg.

"We see this launch as a continued expansion of the VNX activities and footprint", explained Alexander Tkachenko, Founder and CEO of VNX. "The crypto market is inherently volatile and offers investors little, if anything, in terms of hedging. Our secure platform and tokens backed by gold offer clients cutting-edge way to invest in precious metals, without the headache of traditional ownership associated with storage, transportation, etc. We are thrilled to launch our tokenised gold which can be used as a hedge against market uncertainty and stored in a digital wallet".

Michael Jackson, advisor at VNX, added: "Many crypto assets are perfect speculative instruments since their prices rise significantly or fall sharply. But sometimes both traders and investors need a safe haven. VNX Gold is just that – an accessible asset fully backed by real, deliverable gold".