Trust, but verify

79Au19779Au197 Posts: 4,047 Gold ✭✭✭✭✭
https://en.m.wikipedia.org/wiki/Trust,_but_verify

I trust BitGold when it says I have x.xxx GAU, in a given vault. But how do I verify it?

How do I (we) verify that every bit of gold "owned" by BitGold customers in a given vault is really in that vault?

If we all wanted to redeem our gold at once, as gold cubes, would BitGold have enough gold on hand?

B)
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  • rohanibuang61rohanibuang61 Posts: 2,379 Gold ✭✭✭✭✭
    Hi @79Au197 as Bitgold only produce 10 gr cube and 1 kg Bar, I think any available balance that is not sufficient to 10 gr cube withdrawal will be recorded on our platform as accounting factor so that we know how much gold owns by us from our purchased, gift, commission and so on.
  • KimKim Posts: 636 Bronze ✭✭✭
    @79Au197, all we get as proof at this point are out statements we can review online. Folks have posed the same question and asked in the forums sharing similar concerns. I believe if you proof of your gold (beyond what we have now as proof) you would redeem.

    BitGold cannot sell more than it can acquire and vault for its customers, I would think, so there would be virtually no possibility of not having enough on hand for any of us to redeem upon request.

  • ElectrumElectrum Posts: 43 Copper ✭✭
    @golderoo why are you still here? Hasn't BitGold done you wrong? I find it amazing you still choose to spend your time here just to create negative energy for everyone else.

    Seperately, your analysis of above shows a general lack of understanding of banking laws and regulations. BitGold is ultimately held accountable by its regulator and operates under that format.
  • 79Au19779Au197 Posts: 4,047 Gold ✭✭✭✭✭
    @Electrum "BitGold" is ultimately held accountable by its regulator and operates under that format".

    Agreed, all I am asking is where we find the reports that prove that BitGold is in compliance.
  • ElectrumElectrum Posts: 43 Copper ✭✭
    Where do you find the reports that your bank is in compliance? Clearly, you know nothing about regulations. How old are you btw? if 1979 is your date of birth you should know a little more about how the world works by now son.

    The regulators job in each nation is to regulate. Overight and regulation takes place via rules based and enforcement approaches. BitGold Corp. is operating in Canada not some Banana Republic. If FINTRAC see's any infractions to the law as regulator, they can shut down BitGold tomorrow. If the Toronto Stock Exchange or KPMG or Brinks or Lloyds or any other institution that BitGold is involved with see's infractions, you would have heard about it.

    Wake up and smell the coffee. BitGold is better funded, better designed, and better regulated than any other fintech company out there. I hope they shut down this golden heart crap so you all can find a better sandbox to abuse.
  • 79Au19779Au197 Posts: 4,047 Gold ✭✭✭✭✭
    @Electrum

    How educated are you btw? 79Au197 is the periodic table symbol for Gold. Aurum, Latin for gold, as in the BitGold Aurum technology. Shall I insult you for your apparent ignorance of Chemistry and Physics?

    Also for your information, Josh Crumb (you do know who Josh Crumb is?) and I are both alumni of the Colorado School of Mines. I graduated quite a few years before he did.

    I am not embarrassed about my ignorance of FINTRAC or any other institutions you mention. Hence the reason I ask questions? You can't learn without asking questions. B)

    I joined BitGold, not to make money, but as a way to preserve the value of my work. One of the core tenets espoused by Roy and Josh in their videos. I agree with you that the Golden Heart program appears have been poorly implemented. I suspect that the founded expected it to be a perk, and did not anticipate some trying to make a living off of it.

    Chill out, bro …
  • 79Au19779Au197 Posts: 4,047 Gold ✭✭✭✭✭
    @golderoo

    I am slowly beginning to come around to your point of view as I read more about the "Golden Hearts" issue. It is obvious that you and others have a perceived sense of being wronged by BitGold and you feel that BitGold violated the spirit of the original Golden Hearts program, if not the letter. Sadly I fear that this issue will not be resolved on this message board.

    As I stated in http://community.bitgold.com/discussion/comment/2528/#Comment_2528

    "I would like to see BitGold management deal with "Golden Hearts" issue in a way that is equitible to all parties."

    I wish you all the best in resolving this issue to the mutual satisfaction of all parties.
  • ElectrumElectrum Posts: 43 Copper ✭✭
    What you continue to show is a strong bias against BitGold and a lack of general comprehension. I assume you spent the same time reading the TOS as you have the above risk factor from the prospectus.

    BitGold's prospectus is describing how its classified by the Federal Regulator and thus, how it's regulated. You try and obfuscate by bolding a line which is quoting the law: That FINTRAC does not register dealers in precious metals. That is because it does not view them as Money Service Businesses. But it still regulates them and oversee's their activity as the prospectus and BitGold clearly states.

    BitGold not being a bank or trust company is a good thing, it means your deposit of gold is allocated and segregated and is not fractionally reserved. A securities prospectus has to list all possible risk factors, that is the rule of law. Nothing in what you highlight indicates anything other than a well built organization operating under governance and oversight (securities regulators and federal regulators) that is far beyond any other company I know within the payments, gold, or cryptocurrency space.
  • 79Au19779Au197 Posts: 4,047 Gold ✭✭✭✭✭
    @golderoo

    Your link to https://en.m.wikipedia.org/wiki/E-gold was most informative. I admit that I have some concern about BitGold's status as a "money transmitter" in the US and on a state-by-state level. The problem with legislative (as opposed to physical) laws is that they are wholly arbitrary and vary from jurisdiction to jurisdiction. Running afoul of local law concerns me much more than any other aspect of BitGold.
  • 79Au19779Au197 Posts: 4,047 Gold ✭✭✭✭✭
    @Melanie did you disappear @golderoo's posts on this thread?
  • 79Au19779Au197 Posts: 4,047 Gold ✭✭✭✭✭
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