What is NVLT or Legacy Token?

[TL;DR]

Gold-backed tokens are pretty popular in the crypto market; Gold Coin (GLC), Tether Gold (XAUt), and NVLT are some examples.

Legacy Token (NVLT) is a pioneering token, the first ever crypto to be backed by scientifically quantified in-ground conserved Gold.

The Polygon Blockchain is the host platform for NVLT, and the pre-sale launches in September, while the public sale goes live in November 2022.

Each Legacy token is backed with a minimum of 1/100th of in-ground gold.

Nature's Vault, the company issuing the token, has already purchased mining rights to 125,000 Troy Ounces of gold on Pistol Lake, a gold deposit.

Nature's Vault seeks to preserve the planet by creating eco-building ESG investments.




Are There Any Tokens That Can Be Linked To Gold?

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The short answer is yes. There are lots of tokens linked to both real-life and Virtual Gold. Gold-linked digital assets date back to when Bitcoin matched the price of gold in 2017. The market of such assets has since expanded, with more companies minting their gold-linked tokens. Some examples are:

Tether Gold (XAUt): This token is pegged one token to one Troy ounce of gold stored in reserves in Swiss Vaults. Tether launched in 2020 and now has a market cap of $16 million.

Anthem Gold: launched in 2019, backed 1:1 grams of fully insured and safely-stored gold.

Gold Coin (GLC), the gold-linked token with the fastest transaction speed with its 2-minute confirmation time. The ERC-20 token is a product of the community-led Digital Gold LTD.

There are many other gold-linked coins in circulation, each with its unique model and modus operandi. The newest to launch is Legacy Tokens NVLT, with its ground-breaking approach to tokenizing the precious metal.


What is Legacy Token (NVLT)

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Legacy tokens are coins linked to physical gold, just like other gold-backed tokens. Each NVLT is pegged to 1/100th gram of quantified unmined gold or NaturesGold and is hosted on the Polygon Blockchain. The ground-breaking token is an ESG investment class focused on protecting the environment. So, instead of mining the gold backing Legacy Tokens, Nature's Vault, the issuer of the assets, holds the mining rights of the gold deposits in reserve.

The prevailing idea behind Legacy tokens is that we don't necessarily have to mine gold for it to be valuable. Therefore, there can be ESG assets backed by unmined gold. According to Nature's Vault data, gold mining is responsible for about 7% of global GHG emissions, and 180 million tonnes of dangerous waste that gets spilled into water sources. All these only for 50% of the mined gold to be stored away in banks.

Instead, people can still invest in gold and get good returns while discarding all these environmentally hazardous activities. To achieve this, Nature's Vault buys the mining rights to Sites of Gold deposits. Third-party experts quantify these deposits with geologically approved measurements, i.e., JORC or NI 43-101 technical reports. The gold will then get tokenized as Legacy tokens which investors can trade for profits. However, Nature's Vault will not launch token sales till later in the year.


Nature's Vault: Preserving The Planet Through The Legacy Token.

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Nature's Vault is a Singaporean Greentech start-up with a mission to bring the world to a net-zero future. It aims to achieve its goal by creating sustainable, impactful, and lucrative ESG investments. Nature's Vault is the innovation of Phil Rickard, its current CEO and a global entrepreneur. Rickard has had over 30 years of experience founding and building AI-driven enterprises, FinTech, and ventures in natural resources and renewable energy.

The startup has already acquired Pistol lake, 400 acres of forest and lakes in Thunder bay, Ontario. Pistol lake carries 125,000 Troy Ounces of Gold or 3.89 million grams of Gold. The company's long-term goal is to purchase and preserve mining rights equivalent to 1 million ounces of gold in environmentally untouched spots all over Canada.


Differences Between NVLT And Other Gold-Backed Coins.

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Two basic things set Legacy tokens apart from all other assets linked to Gold.

Redemption: Other Gold tokens can eventually be redeemed with real-life gold, which encourages mining with its environmental hazards.
NVLT, however, cannot be redeemed for gold. The very nature of the token rests on the preservation of the underlying gold from mining to avoid all the harm that process will cause to the climate.

Focus: Most token issuers mainly focus on making gold a more liquid asset while reducing the stress of transporting it around. NVLT, on the other hand, is focused on protecting our planet. The goal of the startup is to create real opportunities for people to invest and participate in combating climate change at the same time.


Benefits of Legacy Tokens

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Legacy tokens combine the advantages of regular gold-back coins with their climate change combating mission to form the most sustainable and planet-friendly crypto. Here they are:

Hedges Against Inflation: Just like most gold-linked tokens, NVLT can serve as an anti-inflationary asset. Gold has stood the test of time as a traditional means of storing wealth in times of inflation. Using it to back a cryptocurrency makes it less volatile than fiat-backed stablecoins.

Increases Liquidity and Portability: Gold has long suffered detraction as an illiquid asset. Linking it to tokens makes its value readily available for use. Tokenization makes Gold more easily transferable from party to party, unlike Gold bars, which are cumbersome to transfer.

Affordability: Tokenization breaks the value of gold down into affordable prices. This opens the market to a larger market of investors since the tokens are made affordable for any investor level.

Eco-friendly Investment: The mission of Nature's Vault is to expand accessibility and speed up the funding of ESG Investments. Especially initiatives that combat ecosystem deterioration and climate change to lead the world to a net-zero future. The Legacy token is a step toward the fulfillment of that mission.


Is NVLT a good investment? Polygon Blockchain says Yes.

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The Legacy tokens find their home on the Polygon Blockchain. This layer-2 scaling solution focuses on building user-friendly DApps with low transaction fees and one of the fastest throughputs.

The multipurpose blockchain is a strategic partner of Nature's Vault and will facilitate transactions of Legacy tokens when sales go live. According to the Sustainability lead at Polygon, Stefan Renton, Polygon is excited to work with Nature's Vault. Both companies have goals that connect. Polygon strives to provide a base layer for the development of ground-breaking solutions to environmental problems, Nature's Vault is one such solution. Consequently, the Polygon ecosystem fully supports the start-up.


How to Purchase NVLT.

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Nature's Vault has acquired the mining rights to approximately 3.89 million grams or 125,000 Troy ounces of gold in Pistol lake, Ontario. However, tokens are not yet available to the public. The pre-sale event is coming up in September, and the public sale is in November. Sales will take place on Nature Vault's website, where the company posts all information as things progress.


In Conclusion

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Nature's Vault, through the Legacy Tokens, is revolutionizing how gold is mined, stored, and traded. Its goal of creating ESG Investments to save the planets is groundbreaking. If embraced, it could potentially reduce the carbon footprint of mining activities by a significant percentage.

Author: M. Olatunji, Gate.io Researcher
* This article represents only the views of the observers and does not constitute any investment suggestions.
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