Physical gold dealers are ceasing operations.

Gold Sign

Physical Gold

Because of the COVID-19 pandemic, Switzerland has declare a state of emergency. Due to the bans from leaving home, Argor Heraeus and Valcambi, the two largest refineries in the world (operating in Switzerland) have announced they will cease operations as of tomorrow.

This means that the availability of physical gold could decline significantly in the coming days.
The price premiums for gold in the retail markets, which are currently already at 4% to 65% on the spot price, might become even higher.

At pro aurum in Berlin 100 people have been standing in front of the branch every day for weeks, waiting for hours to be “let in”.
In Austria all gold dealers had to close their branches since yesterday.
However, the range of physical goods on offer is getting smaller and smaller.

What does this mean for Vaultoro customers?

In this market Vaultoro will be one of the very few places in the world that can offer customers a permanent trading opportunity. Vaultoro’s peer to peer trading enables customers to trade with each other while gold dealers have long closed their doors.
In such a situation, no one should expect a “perfect order book” with perfect spreads. The market with real, genuine gold does not work like the regular crypto market.
However, Vaultoro will help its customers to maintain liquidity throughout this crisis.

Share on twitter
Share on telegram
Share on linkedin
Share on facebook
Share on whatsapp
Share on reddit