BitPay Integration Lets Users Buy Gold With Cryptocurrency

OneGold, an online marketplace for buying, selling and redeeming precious metals, announced a partnership with BitPay on Jan. 13 that will allow crypto users to purchase gold and other valuable metals on Android and iOS devices.

Through the integration with BitPay - a leading Bitcoin payment service provider that currently supports over 30,000 merchants, including Microsoft and Avnet - OneGold's new mobile app will accept payments in Bitcoin, Bitcoin Cash, Ether, and various stablecoins.

"Cryptocurrency holders are a natural fit as precious metals investors and can utilize OneGold to balance their investment portfolio. Using BitPay, cryptocurrency holders can quickly buy gold or silver at institutional pricing, save 2%, and create a nice balanced mix of gold, silver, and cryptocurrencies."

Bitcoin has often been compared to gold, with Bloomberg recently reporting that it is equivalent to digital gold, as there is a correlation between the two that extends deeper than both being safe haven, limited assets.

In a new report, Bloomberg market analyst Mike McGlone characterizes 2020 as a prime year for safe-haven assets, suggesting that movements in gold will act as a proxy for BTC's price performance.

Shortly after this event, both the price of Bitcoin and gold went up.

Notably, stablecoin operator Paxos has created a crypto-asset redeemable for physical gold.

Paxos launched PAX Gold, a gold-backed ERC-20 token in September 2019, claiming that the product is the first crypto-asset redeemable for physical gold.

According to a report, each PAXG token will be back by one fine troy ounce of London Good Delivery gold.

Token holders reportedly own the gold it represents, but the tokens can be moved like any other ERC-20 assets, which Paxos notes is simpler than shipping gold.