CZ: Tokenizing Gold is Not the Same as On-Chain Gold

On October 23rd, CZ made a post on social media, stating, "This is a rather self-evident point. Most people 'in the crypto space' are aware of this, while most people 'not in the crypto space' may not have grasped it yet." Tokenizing gold is not 'on-chain gold'. It merely involves tokenizing the concept of 'you trust a certain third party to provide you with gold at some future time' - even if there have been changes in their management, perhaps decades have elapsed, or it is even a time of war. This is essentially a 'trust me bro' token. That's why no 'gold coin' has truly gained popularity. Previously, cryptocurrency critic Peter Schiff disclosed that he is going to launch a gold tokenization product. "You can purchase gold through an app on your phone, and this gold will be kept in a vault. Subsequently, you can effortlessly transfer the ownership of the gold to people you know, or exchange it for physical gold."