While Bitcoin as a mechanism of exchange continues to gain acceptance in the global marketplace for retail products, many investors and traders still face difficulty converting their holdings into real world assets. Save the occasional real estate deal or Lambo purchase conducted via a digital transaction, most have no way to exchange their holdings other than to withdraw their money back to their bank accounts, a process that often involves exchange delays and withdrawal limits.
This poses a significant problem, especially during major market moves such as the 50% pullback in the price of Bitcoin that we’ve seen since the beginning of 2018.
While traders and investors can seek some level of safety by converting their holdings into dollar-pegged cryptocurrencies to ride out any potential market disruptions, there are questions as to their stability amid recent regulatory inquiries. One of the key issues is that dollar-pegged cryptos themselves could be suspended by governments or exposed as being backed by no real-world dollar assets, a situation that could well lead to mass panic across the entire cryptocurrency sector, leaving investors with no way to exit their positions.
But options are rapidly entering the marketplace.
JMBullion.com, the world’s leading online gold and silver dealer makes it possible to instantly convert cryptocurrencies into real-world physical assets that you can hold in your hand.
Highlighting the fact that Bitcoin and other cryptocurrencies are becoming serious contenders for global payment transfers, JM Bullion spoke with BlockCubed about why they’re one of the few major precious metals retailers to provide Bitcoin payments as an option to customers:
Cryptocurrencies are a huge market with investor interest building daily. Many of our existing customers have diversified their investment portfolios into digital assets and they need an easy way to convert their trading profits into gold and silver.
Some have also expressed concerns about cryptocurrency market volatility and how the process of converting cryptocurrencies into traditional currencies and then back to gold is time consuming and costly.
Our aim is to provide investors with not only a way to turn their cryptocurrencies into physical gold and silver assets, but to give them a way to exit their digital positions as a cryptocurrency trade of last resort during market turbulence.
Our platform lets a customer use Bitcoin to instantly purchase gold or silver online, and to take physical delivery of these assets within a matter of days.
While cryptocurrency investors often shun central bank backed paper money, gold and silver have been the assets of last resort and maintained their purchasing power for the past 5,000 years.
In a digital asset world where market “corrections” often see 30% to 50% price drops, the level of stability provided by precious metals gives investors and traders another option for portfolio diversification, especially when panic selling and herd mentality is the order of the day.
Visit JMBullion.com for up to date gold and silver prices.