This solution allows you to create any alternative money with the reference to different goods (gold, oil, energy, precious metals, etc). The exchange rate of your currency will totally depend on the value of the chosen product.
For example, you associate the value of your own virtual currency with gold. According to the APMEX statistic, the price of gold per ounce is $1,260.5 as of March 14, 2016.
In this case, the cost of your alternative money on March 14, 2016 is:
1 alternative currency = 0,01 ounce of gold = $12,6
If we go back and look at the value of gold in December 31, 2015, we can see that the price of gold per ounce was $1,063.7. Consequently your alternative currency cost $1,06 on December 31, 2015.
If tomorrow 0,01 ounce of gold will cost $1.500, your virtual currency will also cost $1,5.
You have to consider that many factors influence the spot price of gold and other precious assets. Gold prices change every few seconds and there is an unlimited number of components that play a role in the price of gold. Some of the reasons for the changes in gold prices include: current events, market speculation, currency values, supply and demand buying power.
Usually, this type of alternative money is issued and controlled by its developers (you) and used and accepted among the members of a specific virtual community (micro investment platform, social network, local communities etc.).
SDK.finance offers flexible pricing plans for companies of any size. We’ll be in touch quickly to get you started with a package that makes sense for your business.Contact us to get pricing information.