NYDIG Believes Tokenized US Gold May Benefit Bitcoin
Greg Cipolaro, global head of research at New York Digital Investment Group (NYDIG), noted on March 21 that officials from the Trump administration, including Elon Musk, have proposed using blockchain to track US gold and government spending—an idea supported by crypto executives.
The analyst suggests that tokenizing or tracking US gold reserves on a blockchain won’t function in the same trustless manner as Bitcoin, but it could still benefit cryptocurrencies.
“Blockchains have limitations,” Cipolaro explained. “For instance, Bitcoin doesn’t know its own price or the current time.”
He mentioned that tokenizing or tracking gold reserves on a blockchain could aid transparency and auditing, but it would still depend on “trust and coordination with central entities,” unlike Bitcoin, which was designed to eliminate centralized control.
