Gold Packaging

The term “parcel” is used refer to any uniquely tracked item. Typically, a parcel will consist of a single gold bar packaged in a tamper evident GramChain® bag. If a bar has a serial number, the bar’s mass, brand and serial number are used as a unique identifier and it is placed in a type A bag.

For example, the parcel ID of a single Metalor bar would be identified using the bar serial number: 1kg METALOR bar - 1234567890

For bars or coins that do not have serial numbers or in the case that multiple bars are tracked together as a single parcel, they will be placed in a type Bx GramChain® bag which has its own serial number that can be used for tracking. Multi-item parcels must always contain identical items of the same brand, mass, metal and purity.

For example, a parcel ID containing five 100 gram Valcambi Bars in a type Bx bag with serial #B0002345 would be identified using the bag serial number as: 5x 100g VALCAMBI bars - B0002345

The Parcel ID is used by vaults and the GramChain® explorer to view and identify parcels. GramChain® parcels are also tracked by a GramChain® RFID chip and can be redundantly identified by either their Parcel ID or RFID.

Gold Photos

Photos are important because bullion bars have key details etched into the bar itself and comparing the photo with the scanned details provides an additional method to verify parcel data.

GramChain® requires minimum quality standards for the parcel photo taken at the vault. GramChain® photos must clearly show the following details:

  • The bar (type A) or bag (type Bx) serial number
  • The GramChain® RFID tag
  • For bags containing multiple items, the number of items must be clearly visible
  • The brand, metal, mass and purity of at least one item
  • White label bars must have a visible refinery hallmark

When a parcel photo is taken by the GramChain® scanner, a QR code is immediately added to the image which links to the public parcel data and the image’s hash is generated. The image hash is in turn hashed together with the salted hash of the scanner’s user ID, location, time and bar characteristics. The resulting event hash is stored on the Ethereum blockchain.

Both the raw data, photo and the hashes are public data. Furthermore, each new event contains a hash of the previous event. This system ensures that neither CACHE nor GramChain® can manipulate event data as any manipulation of prior event data will invalidate all subsequent event data.

Provenance Tracking

In the bullion industry, the provenance of bars, sometimes also referred to as the chain of integrity, is an important concept because provenance controls offer protection against both AML/CFT risks as well as fake bullion. CACHE works only with reputable liquidity and storage providers that follow standard industry best practices and can clearly document the source of their bullion.

A chain of integrity requires that once bullion has been redeemed by a private individual and removed from the tamper evident bag, it cannot re-enter the system without purity testing and AML/CFT checks. Re-entering into the chain of integrity can occur either by sending the bullion back to a refinery for recasting or by testing the bullion. In both cases AML/CFT screening is performed first.

Deposit of branded gold from outside GramChain’s chain of integrity requires two steps:

  1. Registration and verification of a CACHE Gold account.
  2. The bullion must be delivered to a vault with approved testing facilities (e.g. DUX) or to an approved refinery for recasting.

While no system is infallible, CACHE is designed to meet or exceed the AML/CFT requirements of the Singapore Precious Stones and Precious Metals (Prevention of Money Laundering and Terrorism Financing) Act 2019.

Important Notice:

CACHE Gold was founded in 2018 to digitize, by issuing fungible ERC-20 tokens, uniquely tracked gold bars in a transparent and fully backed manner using GramChain asset tracking system, thus providing a real-time and tamper evident Proof of Reserve (PoR).

Our approach was compliant to the definition of an asset-backed-token under the Singapore Precious Stones and Precious Metal Act (PSPM Act) as administered by the Singapore Ministry of Law.

In mid-2023, Singapore Ministry of Law announced the proposal to amend the PSPM Act whereby “the definition of asset-backed token will be updated to exclude digital payment tokens” and that “[sale of] tokens backed by gold to a customer after the effective date of this amendment, will not fall within the scope of regulated dealing under the PSPM Act.”

With these changes, gold backed tokens, from a regulatory perspective will be regarded as securities under the Monetary Authority of Singapore (MAS). MAS securities regulations makes the issuance, distribution and trading public blockchain tradeable tokens impractical.

This shift removes the regulator assurance of issuing new CACHE Gold Tokens in Singapore and as a result, CACHE Gold has made the difficult decision to enter indefinite dormancy, with the aim of just facilitating the redemption/conversion of any remaining tokens.

If you hold any outstanding CGT, please contact us at [email protected] for guidance on CGT redemption/conversion.

CACHE Gold has consistently maintained more than 100% backing for its tokens and possesses adequate net assets to responsibly close operations, settling all liabilities. We have actively reduced outstanding tokens and hold only a minimal number of third-party tokens.

We deeply regret being unable to realize our vision of issuing highly transparent public blockchain gold tokens.