Orebits Corp., a provider of Blockchain-based asset digitization services for unrefined minerals, metals, and un-extrapolated commodities, announces the creation of an entirely new asset class, referred to as “Orebits.AU,” that allows for the inherent value found in unrefined gold reserves to be released and positioned for investment, financial leverage, liquidity and balance sheet enhancement.
Given the volatility of the current crypto-currency marketplace, inclusive of both real and perceived market constraints surrounding the growing number of initial coin offerings (ICOs), Orebits Corp. has co-developed a fully-compatible product “ecosystem” that will allow for balance sheet capture, accounting for, pledge, hypothecation, re-hypothecation, internal-external audit and management reporting on Orebits.AU as an entirely new asset class. This ecosystem incorporates a number of highly respected entities and concerns in the crypto-technology, cyber-security, distributed ledger, financial audit, compliance, and treasury management sectors.
“Our primary goal was to not only create and fully support a new and efficient way to monetize reserves,” explains Orebits Corp. Executive Director and spokesperson, Carlos Montoya, “but to develop a top-tier, institutional-grade, asset class, inclusive of the underlying product infrastructure to support it.”
Each Orebits.AU derives its value from in-situ and all other unrefined gold reserves that have been deposited as collateral into Orebits Pool, LLC a special purpose vehicle (SPV). Reserve owners seeking the issuance of Orebits.AU for their reserves, work with the Company to evaluate and document their reserves. Requisite Security Agreements, recorded UCC filings, collateral custody and maintenance agreements support the SPV pool. The underlying gold reserves serve to collateralize each Orebits.AU in circulation at a 5 to 1 ratio. The appraised value of the unrefined gold reserves in the SPV pool sets forth a benchmark valuation of the collateral underpinning Orebits.AU, the latter of which may be further employed by reserve owners in order to secure various types of financing structures, institutional loan agreements, and/or individual or corporate balance sheet enhancements.
The use of Orebits.AU, with its exclusively licensed distributed ledger technology for the gold vertical, allows reserve owners to capture and utilize the inherent value in their reserves, subject to their ability to monetize the Orebits.AU units issued to them upon digitization of their claims.
“Given the extreme volatility currently being experienced in the cryptocurrency marketplace, we felt it prudent to take the extra legal steps and vigorously follow a disciplined course of product development to make Orebits.AU one of the world’s first fully-transparent, reserve-backed, crypto assets,” said Orebits CEO Scott Mehlman. “Doing so allows Orebits.AU, among other investment, balance sheet, or estate planning purposes, to be considered as an ‘acceptable collateral’ asset class for bank platform lending and financial planning programs.”
While the current focus of Orebits Corp. remains centered on gold, its patent-pending technology covers a broad range of in-situ or un-extrapolated reserves including, but not limited to, platinum, titanium, lithium, copper and/or liquid assets such as oil and gas reserves.
- Wanxiang Blockchain and PlatON Launch Consortium Blockchain Infrastructure in China - October 7, 2019
- PayPal Quits Facebook Cryptocurrency Project Libra - October 7, 2019
- Walmart To Use Blockchain For Shrimp - October 7, 2019
- Channel Tools adds Blockchain-Driven Verification Service Evident Proof To It’s Kit - October 7, 2019
- Zuckerberg Under Intense Pressure to Testify to US Congress about Libra - October 4, 2019
- Report: Canadian Blockchain Industry Has Some of The Highest Paid Workers in the Country - October 4, 2019
- Bavarian Company RISE Wealth Technologies with Houston-based Entoro, Launching Largest European STO to Date at USD$120 million - October 4, 2019
- October Launch Confirmation for Telegram Open Network (TON) - October 4, 2019
- Liechtenstein Parliament Passes Blockchain Act - October 4, 2019
- Pioneer of Blockchain Certification For The Visual Arts Verisart, Raises $2.5 million in Series Seed Funding - October 4, 2019
- Uruguayan Digital Party to Embrace Æternity Blockchain Technology For Member Voting - October 3, 2019
- Decentralized Trading Technology Startup Vega Raises $5 Million Seed – Pantera Capital Leads Oversubscribed Round - October 3, 2019
- Malta-Based OKEx Kicks Off Global Compliance Standards Initiative for Cryptocurrency Exchanges - October 3, 2019
- Dama Financial and Helix TCS Establish First Blockchain-Fueled, Complaint Cannabis Marketplace - October 3, 2019
- New Digital Rights Law Enacted in Russia – Establishes Basic Definition Of Tokens And Governs Smart Contracts - October 2, 2019
- Six major Japanese Brokerage Firms Establish Japan Security Token Offering Association - October 2, 2019
- Vancouver’s BIGG Digital Assets Cuts Deal with US Federal Government Agency - October 2, 2019
- æternity Teams Up with Uruguay Can to Track Cannabis Production on the Blockchain - October 2, 2019
- Streamr Launches Global Pub/Sub Network For Machine Data - October 2, 2019
- SEC Orders Blockone to Pay $24 Million Fine for Unregistered ICO - October 2, 2019