Profit from gold and silver without holding the physical metal or buying financial funds

Digital Gold

Two words that have the tendency to appear in various social media posts about cryptocurrency, sometimes followed by questionable financial advice involving moons and supposed mathematical certainties.

The question of whether any cryptocurrency will ever become “digital gold” or a long term store of value is another discussion, but it’s sufficient to say gold definitely has a place in the narrative of what is happening in cryptoville. But it would be more fun if instead of having arguments on Reddit about crypto, gold and moons, you could actually make predictions about gold prices using Obyte and make money from it.

Introducing the new precious metal exchange rates oracle

This new oracle means you can now profit from your price predictions on how gold and silver will perform against a range of both government currencies and cryptocurrencies.

Think the price of gold will rise vs the Japanese Yen ¥ and the US dollar $? Think the price of silver will fall vs the British Pound £ and the Euro €? Use Obyte to make money on these predictions. The Obyte platform has actually enabled various trustless prediction markets since 2017, in our mission to make P2P great again.

Make bets on precious metals without counterparty risk

One of the problems with precious metal speculation is the additional risks you take on that are not related to the price. Hold physical gold in your house and you run the risk of a burglar (or your husband/wife/step-mom) stealing it. Take a position in a gold ETF and you run the risk of various people acting dishonestly e.g. fund managers, gold companies the fund has invested in etc.

Peer-to-peer contracts are a safer way to make predictions and that’s how you can use precious metal exchange rates oracle. The method is the same as is demonstrated in this video, find a peer and use your Obyte wallet to make the prediction.

The difference being, instead of betting on the price of Bitcoin like in the above video, you would bet on the price of gold/silver. See the feed data, XAG is the silver ticker and XAU is for gold.

Note that these prices are not updated on weekends

Blackbytes and physical cash/gold

There is an argument to make that Blackbytes (the private coin of Obyte) mimic the physical benefits of cash/gold better than any other private cryptocurrency, a viewpoint explained in this video.

You can now make price predictions on gold and silver vs Bytes (XAU_GBYTE and XAG_GBYTE pairs) and Blackbytes (XAU_GBLACKBYTE and XAG_GBLACKBYTE pairs). Gold recently broke through 6 year resistance of $1,350, and gold investors are beating their golden drums. Is this a suckers rally? Find a gold investor and challenge them to a trustless prediction using Obyte! The gold/silver ratio is currently 85–1, meaning gold is 85 times more expensive than silver. This ratio is historically high which for long periods of history was closer to 14. You can bet on that too by using the XAU_XAG pair.

The future

To use the new precious metal exchange rates oracle you need to find a peer (someone to take the other side of your prediction) and pair your devices. Once Autonomous Agents are released on the mainnet the oracle will be more useful, as you will be able to make predictions without finding a peer yourself.