Phase 1 of the groundbreaking project tokenizes $2.4 billion in U.S. gold reserves, blending real-world assets, blockchain innovation, and financial inclusion.
December 10, 2024 – Cape Town, South Africa – DAMREV, a global leader in Real World Asset (RWA) tokenization, has partnered with Metropolitan Area Networks (MAN) to launch a groundbreaking initiative: the tokenization of American alluvial gold reserves. This ambitious project is set to revolutionize gold investing by providing secure, transparent, fungible blockchain-powered fractional ownership of physical U.S. gold assets.
Revolutionizing Gold Investment Through Tokenization
This project introduces an innovative framework for tokenizing an initial 890,000 troy ounces (27,682 kilograms) worth of gold-bearing assets. Designed to escalate in purchase value across four key production phases—discovery, extraction, processing, and refinement—the passive appreciation of the tokens will culminate in the rendering of 24-karat ½-ounce minted gold coins. Each phase of production escalates the value of the underlying asset while providing fractional ownership through secure and leverageable digital tokens.
DAMREV utilizes the Stellar blockchain, an ISO 20022-compliant technology, to ensure secure, transparent, and real-time transactions. By merging the enduring value of gold with the liquidity and accessibility of blockchain technology, the project offers a unique investment solution that bridges traditional and modern asset classes available at a discount on the spot price of gold.
Phase 1: Tokenizing $2.4 Billion in Gold Assets
The first phase of the alluvial gold unit (AGU) token program focuses on tokenizing an initial tranche of gold reserves valued at over $2.4 billion at current market prices provided at a discount of up to 10% below the LMB spot price. This AGU1 token offering marks a significant milestone in the evolution of gold ownership, providing investors a transparent, liquid, and accessible alternative to traditional gold investments. By enabling fractional ownership, DAMREV is democratizing access to one of the world’s most stable and enduring assets.
Through this tokenized structure, investors benefit from real-time auditability, enhanced liquidity, and the opportunity to hedge against economic, currency and political volatility. The approach also provides an added layer of transparency, setting a new standard in asset-backed investments.
Private Sale Targeting Strategic Investors
Before the public phase, a private pre-sale will target strategic investors globally. For U.S.-based participants, the offering will be restricted to Accredited Investors to meet regulatory requirements. This private placement gives early investors an exclusive, discounted opportunity to engage with the gold market in an innovative and secure manner.
Advancing Financial Inclusion
Beyond technological innovation, this project is driven by a commitment to financial inclusion. A significant portion of the tokenized gold will be allocated to individuals from historically disadvantaged communities, offering them access to wealth creation opportunities that were previously inaccessible. This initiative aims to foster economic stability, reduce barriers to entry in the gold market, and empower underserved populations.
“By combining blockchain innovation with the intrinsic value of gold, we are redefining investment opportunities and also ensuring that these opportunities are accessible to everyone,” said Anthony Stonefield, DAMREV’s North American Advisor. “This project is utilizes advanced FinTech to afford a more equitable financial landscape for all.”
Ancore: A Pillar of Expertise and Integrity
Ancore plays a crucial role in this initiative, ensuring fiduciary oversight and operational excellence. As Managing Director of Ancore, Cecil Callahan brings decades of expertise in finance, asset management, and regulatory compliance to the project.
“Our role is to provide the framework and integrity needed to ensure that investors have complete confidence in the security and transparency of their assets,” said Callahan. “This project is a significant step forward in democratizing access to gold while maintaining the highest levels of trust and accountability.”
Ancore’s involvement underscores the project’s commitment to security, compliance, and investor confidence.
Secure Storage and Regulatory Compliance
The physical gold assets are securely stored in a custodial bank vault in Carson City, Nevada, under rigorous U.S. regulatory oversight. Third-party audits enhance transparency and provide investors with the confidence that their holdings are secure and accurately accounted for.
DAMREV’s integration of ISO 20022 standards ensures seamless compatibility with global financial systems, while the Stellar blockchain technology provides a transparent, secure, and efficient platform for managing both digital and physical assets. This dual-layer approach guarantees that the project meets the highest standards of operational and regulatory excellence.
The Future of Gold Investment
“This launch marks a new chapter in the evolution of gold investment,” added Chastain. “By leveraging tokenization, we’re not just creating a new way to own gold; we’re making it accessible, efficient, and inclusive. It’s a transformative step for investors seeking both stability and innovation.”
Callahan echoed this sentiment: “With this initiative, we’re bridging the gap between the physical and digital worlds, offering a solution that is both innovative and rooted in traditional value.”
William Chastain, CEO of Metropolitan Area Networks, highlighted the project’s significance in reshaping investment opportunities: “Tokenization of gold isn’t just about modernizing the asset—it’s about redefining how people can interact with it. This initiative sets a new standard for accessibility and trust in one of the world’s most enduring resources.“
With Phase 1 valued at over $2.4 billion in today’s value, this initiative sets the stage for future phases that will expand the horizons of tokenized investments. DAMREV, MAN, and Ancore are paving the way for a more inclusive and accessible gold market, ensuring stability, liquidity, and transparency for investors worldwide.
“Tokenizing gold bridges the gap between traditional investments and modern technology, offering stability, transparency, and inclusivity.” – Duane Herholdt, CEO of DAMREV.
Recognition and Future Projects
DAMREV stands out in the fintech arena, recently honoured as the Best African Business Tokenization Company of 2023 and the recipient of the prestigious Innovation & Excellence Award 2024 for Real World Asset (RWA) Tokenization Company of the Year in South Africa. These accolades underscore DAMREV’s substantial contribution to Africa’s economic progress and its dedication to driving sustainable growth through cutting-edge financial technologies.
Currently, DAMREV is initiating ambitious projects across various sectors, including the tokenization of commodities and real estate. These ventures reflect DAMREV’s commitment to fortifying economies through innovative asset management solutions. By creating a tokenized framework for these essential assets, DAMREV is poised to transform market transparency and efficiency, thereby paving new paths for investment and economic stability.
Strategic Focus and Financial Inclusion
DAMREV’s strategic emphasis on select sectors and asset classes showcases its commitment to pioneering in the digital asset management arena, coupled with a relentless pursuit of innovation through research and development. By aligning its expertise and technological capabilities with the unique demands of various industries, DAMREV not only fortifies its standing but also pushes the envelope of what’s possible in the realm of digital assets.
Financial inclusion is a cornerstone of DAMREV’s mission. By democratizing access to investment opportunities through tokenization, DAMREV empowers individuals and businesses across Africa and beyond. This approach fosters a more inclusive financial ecosystem, providing unprecedented access to valuable assets for a broader range of investors.
At DAMREV, collaboration with a network of trusted partners is integral to the company’s pursuit of excellence. These partnerships help provide secure, transparent, and efficient tokenization solutions to clients worldwide. Together, DAMREV and its partners are shaping the future of asset management.
About DAMREV
DAMREV is a leading Real World Asset (RWA) Tokenization company, specializing in transforming traditional assets into digital tokens using the Stellar Blockchain. As a forefront FinTech service provider, DAMREV focuses on ISO 20022 Blockchain Tokenization and Smart Contract Development. The company excels in Security Token Offerings (STOs), bridging the gap between conventional industries and cutting-edge technology. DAMREV’s mission is to create more inclusive, efficient, and transparent investment opportunities. For more information, visit www.damrev.com.
Contact Information:
Email: [email protected]
Website: www.damrev.com
