Just found out about this thread and coin.
- What is the relationship between gold price and XAUR price ?
In the past 30 days, gold oscillated between 1219 and 1264$, say a 3% range. Why XAUR moved so much during the same period ?
- What is the advantage of buying XAUR over a gold ETF ?
Just check this interview it will give an insight and what is xaurum and it's goal and it's purpose the dev himself provided these answers to all these questions .
http://cryptocurrencieshub.com/xaurum-the-golden-blockchain/Thanks but I couldn't find any useful answer to my questions...
Gold price (the amount of gold behind 1 XAUR in $) determines the minimal possible market price and the production price (or market price if higher) determines the amount of $ that must be invested in gold to produce new money supply and increases the gold price.
If I understand correctly Calangaman wanted to ask about the corelation betweeen the price of gold itself and XAUR price (don't know which one).
If we are talking about XAUR gold price it is directly related to the price of gold and the amount of gold behind every XAURUM as explained by nihilnegativum.
If we are talking about production price, then the price of gold takes place when the mint occurs since production price is related to the ammount of $ in mint and price of gold at that time.
If we are talking about market price of XAUR it has no direct relation to price of gold since it is a pure supply and demand, although it is pushed up with the mint event.
Why XAUR moved more than gold? Because XAUR does not have a fix coverage in gold. For example if XAUR would be backed 1:1 with gold then we could say that only gold price reflects on the price of XAUR. But XAUR has a growing gold base. This means that every day there is more gold behind every XAUR, and this gives the real advantage to XAUR if we compare it to gold itself.
Why buy XAUR instead of gold ETF? Explained in previous line, but again (it does not matter ETF or phisical bulion) If you buy 1g of gold today, you will have this same 1g of gold in 5 years from now.
If you buy XAUR for let's say same amount of money you have today Xaurums which have parox 20% backing in gold, but in 5 years the same xaurums might have 2, 3 or even higher ammount of gold
You got a part of it right. But you have to realize, that Xaurum is not (at least not primarly) ment to be an investment, like gold is. Xaurum is ment to be a cryptocurrency. Which means hopefully you will buy things with it in the future. You cant do this with gold. And personally, like money used to have in the past, id rather operate with a currency backed up by gold, then currency backed up by nothing. In worst case scenario If BTC for some reason dropes to 0 you will literally lose everything you have in BTC. Xaurum can't drop to 0 it can only drop to price of the g behind every xaur.
