WHAT IS PAX GOLD?
PAX Gold (PAXG) is an asset-backed cryptocurrency token. One token is equivalent to one fine troy ounce of a London Good Delivery gold bar, stored in some of London’s most secure vault facilities. Owning PAXG gives you ownership rights to that gold under the custody of Paxos Trust Company, which is chartered by the New York State Department of Financial Services. Since PAXG represents real, physical gold, its value is tied in a 1:1 ratio to the real-time market value of that physical gold.
PAXG gives investors the benefits of actual physical ownership of specific gold bars while also offering the speed and mobility of a digital asset. It also allows customers to have fractional ownership of physical bars, with each PAXG token counting for one ounce of a real gold bar. On the Alpha Bullion platform, customers can quickly convert their tokens to gold products offered by our collaborators at Bullion Exchanges, reducing their exposure to settlement risk. PAXG is also available for trading on Paxos’ itBit exchange. PAXG will also be available on other crypto-asset exchanges, wallets, lending platforms and elsewhere within the crypto ecosystem.
At any time, PAXG holders can lookup the serial number, value and physical characteristics of their vaulted gold just by entering their Ethereum wallet address on the PAXG lookup tool on Paxos.com/paxgold.
WHAT IS THE BENEFIT OF HAVING PHYSICAL ASSETS ON A BLOCKCHAIN?
Physical gold on the blockchain presents owners with the divisibility, fungibility and tradability of any digital asset like bitcoin alongside the advantages of representing legal ownership of physical allocated gold. It also presents the unique benefits of avoiding the limited transportability or high storage costs usually associated with physical gold. In other words, the best of physical and digital assets at the same time!
HOW MUCH GOLD IS BACKING THE TOTAL SUPPLY OF PAX GOLD?
The amount of gold representing the total supply of PAXG is a 1:1 ratio – one fine troy ounce of gold equals one PAXG token. The total supply of gold representing PAXG changes continuously as the market capitalization of PAXG increases and decreases.
CAN I GET A FRACTIONAL AMOUNT OF A PAX GOLD TOKEN?
Yes. It is possible to own tiny fractions of a token, which are divisible out to 18 decimal points. If you purchase PAXG directly from Paxos.com, the minimum purchase is 0.01 PAXG (1% of a PAXG token – or roughly $15).
HOW DO I GET PAX GOLD?
First, navigate to the Paxos website. Follow their sign up process to create an account. Once you have a Paxos account, look for the “Pax Gold” button at the top of the navigation bar. From here, you can convert funds into PAX Gold, or PAXG.
HOW DO I DEPOSIT FUNDS INTO MY PAXOS ACCOUNT?
First, navigate to your Paxos wallet dashboard and click the “Deposit” button in the top right corner of the screen. This page will instruct you on how to deposit U.S. Dollars (USD), Paxos Standard Dollars (PAX) and PAX Gold (PAXG) funds into your account. For PAX and PAXG, Paxos wil provide you with a deposit address where you can send funds. For USD, follow the instructions on the page to initiate a wire transfer through your bank.
ARE PAXOS (PAX) AND PAX GOLD (PAXG) FUNDS HELD IN THE SAME ACCOUNT?
Yes. Your Paxos account works like a digital wallet. If you have PAX Standard tokens or USD deposited into your account, you can see a combined balance for both alongside your PAXG and any other Paxos tokens you may happen to own. You can also create individual profiles on your Paxos account to divide your funds into separate balance if you wish to enact individualized trading strategies.
WHICH CURRENCIES CAN I USE TO BUY PAX GOLD?
Paxos supports deposits and withdrawals of USD, Paxos Standard (PAX), unallocated gold, and PAX Gold (PAXG).
WHAT IS UNALLOCATED GOLD, AND HOW IS IT DIFFERENT FROM ALLOCATED GOLD?
Unallocated gold is gold stored in a bank’s vault as a deposit under your name. Unlike allocated gold, which is stored as your outright property under a custodial contract, unallocated gold is considered the bank’s property, and is eligible for them to loan out, so long as they maintain liability to you. Think of unallocated gold as being stored in a similar capacity to capital kept in a non interest bearing USD saving account, whereas allocated gold is stored in the same way as gold you might keep in a closet at home, except it is stored inside a secure bank vault while still remaining untouched.
HOW DO I CONVERT UNALLOCATED GOLD INTO PAX GOLD?
If you have a Loco London unallocated gold account, you can use it to transfer your entitlements to Paxos. Paxos will then convert the gold into allocated physical gold and tokenize it into PAXG. They will then credit your newly tokenized PAXG to your Paxos Account. Note that Paxos does not hold unallocated gold funds on their platform.
HOW LONG DOES IT TAKE TO FUND A PAXOS ACCOUNT WITH GOLD?
Paxos stops taking orders at 5 PM EST each business day. As long as you place your order before closing, they will typically settle it the following business day. However, if you place your order after closing, Paxos will typically settle it within two business days. Please note that Paxos only allows for purchases and sales of PAX Gold during the operational hours of the London gold market, which is open starting on Sunday at 6 PM EST through Friday at 5 PM EST. Please note that the market closes daily for one hour between 5 and 6 EST.
DOES PAXOS SUPPORT ACH DEPOSITS OF USD?
Paxos does not support ACH depositing functions at this time, but stay tuned for future updates.
IS PAX GOLD PRICING ALWAYS BASED ON SPOT GOLD PRICES?
The price of PAX Gold is always based on the spot price for gold listed in the London market.
IF PRICING IS REAL-TIME, WHAT HAPPENS TO ORDERS PLACED AFTER MARKET HOURS?
Paxos does not currently support after hour orders.
WHAT WOULD HAPPEN TO MY PAXOS ACCOUNT IF PAXOS WERE TO GO OUT OF BUSINESS?
PAX Gold is bankruptcy remote from PAXOS. Because PAXG is issued by a regulated Trust company, client assets are always kept separate from Paxos operating assets. This means that all customer assets are safeguarded and can be converted at any time. With Paxos, your funds are always safe.
IF CUSTOMER ASSETS CAN BE CONVERTED FROM A PAXOS ACCOUNT AT ANY TIME, THEN HOW DO I WITHDRAW USD FROM MY ACCOUNT?
There are two ways to withdraw USD from your PAXOS account. First, you can initiate a USD wire transfer from your PAXOS wallet to your bank account. Second, you can send USD transactions on the Ethereum network using the PAX USD token.
IS PAXOS RUNNING ANY LAUNCH PROMOTIONS?
Yes! For the first 7000 PAXG tokens created and sold, buyers will get a 2% rebate deposited as USD into their Paxos account. Additionally, creation fees are waived on these tokens. Please note that this only applies for Paxos users who purchase under 33 PAXG. Also note that users who purchase PAXG through this promotion will not be able to return the tokens on the Paxos platform (to convert to either cash or unallocated gold) or redeem the tokens for through Paxos for physical gold bars until December 31, 2019. However, users will still be able to use Paxos tokens purchased through this promotion for redemption on Alpha Bullion.
WHY USE ALPHA BULLION IF I CAN REDEEM PAXG FOR GOLD DIRECTLY THROUGH PAXOS?
Each PAXG token represents 1 oz of a single allocated gold bar stored in the secure vaults in London. These bars vary anywhere from 350 to 430 oz. Although the gold is legally yours, Paxos cannot chip off a single ounce of a bar for redemption. This means that to redeem PAX Gold for physical gold directly through Paxos, users must have a minimum of 430 PAXG plus fees in their account. This is to cover the costs of whichever bar might become available for your redemption.
Still, even if users hold fewer than 430 PAXG tokens, they are entitled to their gold, which is where Alpha Bullion comes into play. For users wishing to redeem fewer than 430 PAXG, or for users who wish to choose from a wider selection of gold products than generic gold bars from London, Alpha Bullion’s redemption store offers a number of solutions. Here, users can choose to redeem their PAXG for denominations as small as 1 gram. They can also choose from specific gold bars, such as PAMP Suisse’s Lady Fortuna series, or from bullion coins, such as American Gold Eagles.
HOW DOES ALPHA BULLION PRICE PRODUCTS?
Alpha Bullion prices all of our gold bullion products at a competitively low price. Our team selectively chooses products with low premiums above the spot price of gold to ensure you are making the best investment possibly while redeeming physical gold.
HOW DO I REDEEM PAX GOLD FOR PHYSICAL GOLD BULLION WITH ALPHA BULLION?
First, create an account with us on AlphaBullion.com and go through the verification process. Then simply place an order and transfer the required tokens to us to complete your purchase. We will then convert your PAX Gold tokens from your Paxos Customer wallet to physical gold, and keep you informed throughout the shipping process!
WHAT ARE THE FEES ASSOCIATED WITH ALPHA BULLION TRANSACTIONS?
We try to avoid charging any additional fees. However, you may incur shipping fees, taxes, and duties. The rates may vary depending on your location.
WHAT CURRENCIES DOES ALPHA BULLION ACCEPT?
At this time, we currently only accept PAX Gold ( https://www.paxos.com/paxgold/).
HOW DOES ALPHA BULLION FULFILL ORDERS?
Alpha Bullion fulfills orders through one of the largest and most reputable precious metals retailers available, Bullion Exchanges.
ARE THERE ORDER MINIMUMS AND MAXIMUMS WITH ALPHA BULLION?
At this time, there are no order minimums, but we do have an order maximum of $100,000.00 USD per transaction.
DO YOU SHIP INTERNATIONALLY?
Yes! We are proud to announce that we do ship outside of the US. However, we are currently limited to shipping to Canada. Please note that we are constantly expanding the list of countries we can ship to. We will keep you updated on our site as we expand the regions we serve.
ARE ALPHA BULLION’S PRODUCTS GUARANTEED TO BE AUTHENTIC AND GENUINE?
Alpha Bullion confidently guarantees each and every item sold on our site as genuine and 100% authentic. We purchase all items we offer directly from authorized wholesalers or the mint of production. We also test all products as they come into our processing facility to ensure our customers are receiving authentic and genuine products. Your satisfaction is our priority.