Bitstamp Opens Gold Buying Service to European Customers

Bitstamp has partnered with precious metal traders Moro & Kunst to provide its customers with the option to purchase gold.

AccessTimeIconJan 6, 2016 at 3:46 p.m. UTC
Updated Sep 11, 2021 at 12:04 p.m. UTC

Bitcoin exchange Bitstamp has partnered with precious metal traders Moro & Kunst to provide its customers with the option to purchase gold using US dollars.

The service is being advertised as a withdrawal option for exchange users, as Bitstamp users can purchase gold directly from the firm's website (see image below), choosing from bars ranging between 1–1000 grammes.

After ordering, gold shipments are labelled with a certified tracking number and expedited delivery in two to five days, according to the company.

On Bitstamp's website, gold prices are quoted in US dollars and updated every five minutes.

CoinDesk - Unknown

Bitstamp gold bars

"We want to introduce a bitcoin/gold trading pair and this is first step in doing so. We think that clients that are long in bitcoin would prefer to take advantage on bitcoin's volatility if they trade it against alternative store of value – gold," said Nejc Kodrič, Bitstamp's CEO.

The firm told CoinDesk it plans to expand the service soon, potentially offering gold storage at Moro & Kunst's vaults in Vienna or Ljubljana, and eventually introducing direct convertibility of gold and bitcoin.

Notably, similar services ran into problems in the US last year, with the Financial Crimes Enforcement Network (FinCEN) having ruled that tokenising commodities such as precious metals classes a business as a money transmitting business (MTB). This places extra regulatory and licencing requirements on a business, as well as costs.

However, Bitstamp told CoinDesk that the gold-buying service is only available currently in the EU, adding that all 28 member countries are covered, including the UK.

Gold image via Shutterstock

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Trending

1
CoinDesk - Unknown
First Mover Asia: Bitcoin Rebounds Past $20K; China’s Blockchain Revolution Is Missing On-Chain Data

Ether and most other major altcoins regain ground they'd lost in last week's downturn; China companies seem unconvinced by blockchain technology.

CoinDesk - Unknown
2
CoinDesk - Unknown
NFT Platforms Should Be Caught by EU Money-Laundering Overhaul, Lawmakers Say

Unhosted wallets and decentralized finance were left largely unscathed by two landmark crypto laws agreed to last week, but left-wing lawmakers may seek another go as they discuss dirty-money rules.

CoinDesk - Unknown
3
CoinDesk - Unknown
Bitcoin se recupera y supera los $19K; Nomura advierte de una recesión en EE. UU. y Reino Unido

Nomura escribió acerca de una recesión en la eurozona, el Reino Unido y Asia Pacífico, lo que podría influir en los precios de las criptomonedas.

CoinDesk - Unknown
4
CoinDesk - Unknown
Argentinos se refugian en stablecoins durante el fin de semana tras dimisión del ministro de Economía

Los principales exchanges del país informaron que los usuarios compraron hasta tres veces más criptomonedas estables que durante un fin de semana normal, en medio una crisis económica en ciernes.

CoinDesk - Unknown