“Bank My Gold” ideas

Feedback & Ideas
1

“Bank My Gold”

I put this on the shareholders site, first not sure if you respond to all input!

Keeping it simple!

If say 1 oz of gold was valued today at £1000.

I put £1000 into my Tally account, this then locks my 1 oz in place! ( bank my gold!)

My next investment gains me 1/2 oz which I leave to grow hopefully in value until I’m ready to add money.

Say now to get to 1oz I need to pay £1100, I’d then book my next 1oz at £1100.

So now “Bank my Gold “ is;

1 oz x £1000

1 oz x £1100

Plus my running account to pay for storage and fees

Within my “bank my gold “ could also include costings to have each oz of Gold if required, to be sent out in a solid form!

Now, if Gold falls to say £900 per oz, I could then afford to buy 2 oz.

So “Bank my Gold “ now holds;

1 oz x £1000 Gold Cert no 1

1 oz x £1100. Gold Cert no 2

2 oz x £900. Gold Cert no 3/4

Total 4 oz = £3900

Now if the new Gold value is £1500/oz.

My Gold is now worth £6000!

So, I’ve still got my 4 oz of gold in the bank, but the price has increased now to £1500/oz

I could then decide if it makes sense, to float each of my Gold Certs within my account (release it to the market forces)

i.e. now my account shows all my Gold Certs that could be traded within the Tally holders, wishing to buy my Gold Certs at a price agreed between both parties.

Which could be below the current market value as having “banked” the Gold, I’d have a greater margin to play with !

( each transaction would be by Gold Cert number, I could decide to just sell Gold Cert no 2) that Cert number is then deleted from the “Bank my Gold “ account!

Alternatively, I can leave any amount in the bank or take it out completely!

Just some open sky thinking!

Would it work ?

PC

2

I don’t really understand, that’s probably my fault not yours… but it sounds like you’re suggesting a gold derivative?

1 Like
3

Hi Jonny

It’s no different to buying your gold, taking delivery of it, hold it, price changes, then you sell it!
Only it’s held here on Tally, if it goes down in price you just leave it in the bank!

The options are then open to Tally members to buy your Gold Certs an they then hold it!

Will need more thoughts but it’s something to stimulate the mind while we await relist!
:joy_cat:
PC

4

Hi Pinecone

I’m not sure about stimulating my mind… You’ve completely blown it :joy:

So it’s sort of like you putting your tally up for sale because you want to convert back to fiat, me buying your tally and paying you rather than me depositing funds and creating an automatic new purchase at the vault? :exploding_head::grin:

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5

Yes, only when you buy from me the price of the gold could be significantly lower than what you could buy on the open market, as I would have paid for my gold at say £1200, market says £1500 , I agree to sell it to you for £1400 say!

PC

6

Right… I’m not sure why you would want to sell it lower… You could just transfer bank to your traditional bank which sells your gold as close to spot as you’ll get, which means you’ll make more.

From a buyers point of view, I’d buy everything being offered for sale then transfer back to fiat myself and make money on the arbitrage.

7

Thanks Jonny

Beginning to make sense!

Lots to think about, only an idea but what you said makes the buying / selling of the gold more competitive!

I’ll go back into my shed now!:blush:

PC

3 Likes
8

Bouncing around ideas and getting feedback is what this category is for :+1: