eMetals is the name of a new project launched on Ripple Protocol. These are digitized shares that represent the real commodity equivalent (metals). The important thing is, they can be acquired using digital assets like cryptocurrencies, according to Twitter posts of the developer of the project, Banquecorp Physical Gold Group.
The BPG Group is a solid player of the material refinery industry; they are also engaged in studies and implements of efficient metals’ recycling methods. The company writes in its tweets that customers will be able to buy shares tied to metals using cryptocurrency:
“eMetals will purchase the real-world commodity stocks based on customer demand, and generate IOUs to represent each share. Customers will be able to use select cryptocurrencies, as well as fiat currencies to purchase the IOUs. IOUs will be backed 1:1 to the real-world securities.”
The stocks will be placed on segregated accounts. When asked by the users whether the company’s initiative is supported by the regulatory authorities, the BPG Group responded positively:
“We will release reports that will indicate that we do possess sufficient capital (stock) to back each individual IOU token on a 1:1 basis. We will disclose the names of banks & brokers as well.”
It is worth noting that BPG Group made its first steps in the development of digital IOUs in 2016, using Ripple Protocol.