Browse > Home / Articles / What is E-gold?

What is E-gold?

November 29, 2005

e-gold is a digital gold currency. It is issued by e-gold Ltd., a Nevis Corporation. It was established way back in 1996. This electronic currency is backed ounce for ounce by actual gold bullion. This system of online payment allows the transfer of money between e-gold account holders. According to recent estimates, there are approximately 2.4 million e-gold account holders at present.

You will find that e-gold Ltd. offers a variety of e-metals. So, there is e-silver, 100% backed by silver, e-platinum, 100% backed by platinum, and e-palladium, 100% backed by palladium. But without doubt e-gold beats all these metal currencies hands down. e-gold is has been integrated into an account based payment system. What this means is that an e-gold account holder can use gold as money. To be more precise, with e-gold system, you can transfer desired weights of gold to other e-gold accounts. What is more interesting to note is that in reality only the ownership changes. The gold in the treasury vaults remains there itself.

What should be understood though, is that e-gold is in no way connected to banking. When you use an online system that utilizes a currency based online exchange system, you are considered to be engaged into banking transactions and as such you come under the jurisdiction of federal laws regarding banking. But when you exchange e-gold, you are just exchanging the actual ownership of the gold and nothing else and that is why you are in no way engaged in banking and consequently don’t come under the purview of such federal laws like “Know your customers.â€

Now, for the part that e-gold is one hundred percent backed by gold. This means that when you are engaged in transactions through your e-gold account (if you buy something or if someone spends to your account) you are in reality receiving a weight of gold. The best thing about this type of transaction is that the amount of gold that you have is not going to change until you spend or redeem it for a currency or take delivery of it. But with currencies, the actual purchasing capacity of the currencies is sure to fluctuate. You would be at the mercy of economic policies of the government and the inflation that there wrong policies could bring. But with e-gold you are completely safe.

e-gold is considered a pioneer in the field of alternative currencies. It is considered the best alternative to traditional forms of payments. Most of the times, traditional forms of payment and that too in online transactions prove to be more costly and quite inefficient. When you deal in e-gold, you are provided with a system of transaction which clears instantly. And you must have dealt with cheques or credit card where a typical transaction takes days to process. Similarly, with most of the online payment systems like paypal, they make a distinction between merchant and non-merchant accounts. There is no such thing as merchant and non-merchant e-gold accounts and consequently all the e-gold accounts carry the same fees besides they also have the same capacity to receive and transfer e-gold account holdings.

Thus, we find that e-gold account is one of the finest ways of managing an online account and it has become a benchmark in online transactions.

Autor: Chris a.k.a NoProblem

HYIPNetwork.com and the partner sites TheHyip.com, HYIPTalk.com, HYIPAlert.com and HYIPBlog.com are the most innovative and comprehensive online resource for the presentation of your HYIP or e-currency business. Our network will provide your organization or business with instant exposure to a global community of thousands of dedicated online users who are sophisticated and engaged in the HYIP and e-currency arena.

Reprint rights: You are welcome to reprint any of our articles if you include the reference text including the links.

Written by HYIP Network · Filed Under Articles 

Comments

One Response to “What is E-gold?”

  1. Credit Card Services on September 25th, 2007 2:09 pm

    Credit Card Services…

    I couldn’t understand some parts of this article, but it sounds interesting…

Got something to say?