If you’re looking to diversify a percentage of your investment portfolio away from shares and bonds, then alternative assets can be an attractive option. Tokenization and fractional ownership give you the opportunity to diversify easily and cost-effectively.
- Wealth99 offers alternative assets in tokenized form
- They have pioneered the tokenization of gold, silver and platinum
- Their precious metal tokens are fully backed by the equivalent physical metal
- Wealth99 precious metal is stored and insured by a leading bullion house
- Crypto assets are stored offline and insured by the institutional custody provider Bitgo
Via their precious metals tokens, Wealth99 is one of the first companies to offer everyday people the chance to purchase tokenized versions of real physical assets. The ownership of these assets is represented by tokens that are generated and stored on a blockchain. Precious metals are the first tokenized assets to be offered by Wealth99, but others are reportedly in the pipeline.
1. Wealth99 gives everyday investors access to alternative investments
Wealth99 is named after the 99% of everyday investors who, until tokenization and fractional ownership came along, couldn’t access alternative investments. This was due to barriers such as accredited investor regulations and insufficient wealth to pay for the high cost to entry. With their user-friendly platform designed for retail investors, Wealth99 is aiming to help bridge the gap between everyday people and this exciting new asset class.
2. Wealth99 is a blockchain-native wealth platform
The blockchain revolution and asset tokenization has created new opportunities for investors. With tokenization, cryptographic tokens are created which represent real assets, with their ownership transaction recorded on a blockchain. Because blockchain transactions are transparent and immutable it takes away the need for a middleman in many transactions. That reduces the costs associated with buying and selling and puts control of the asset into its owner’s hands.
This is new because it means everyday investors can now easily and cheaply access desirable alternative assets like gold and commercial property, which used to be the preserve of the wealthy 1%. Wealth99 has recognised this new era of wealth and made its focus ensuring that everyday people are empowered with the knowledge and ability needed to get involved.
3. The real game changer is fractional ownership.
Cryptographic tokens are almost infinitely divisible into smaller fractions. That means, when it’s tokenized, a physical asset and its ownership can easily be split into many smaller amounts – or fractions. For example, gold is usually sold to investors in bars costing around $80,000. But when you tokenize gold you can reduce the minimum purchase amount. For example, Wealth99 gold tokens each represent one standard Troy ounce, and you can buy gold from just £/$500.
4. Advantages of Wealth99
- Wealth99 is committed to reducing wealth inequality by giving everyday investors access to wealth-building opportunities they’ve never had before.
- Wealth99 has a hybrid structure with real people to talk to called specialists and an intuitive DIY online investment exchange.
- Wealth99 customers get better liquidity. They are able to sell their precious metal tokens or cryptocurrencies whenever they want, for the current market value, through Wealth99’s built-in token exchange.
- Wealth99 gives its clients an easy introduction into the new wave of tokenized assets.
- Wealth99 expects to be offering a much greater range of tokenized asset alternatives in the near future.
- Security is a top priority for Wealth99. 98% of crypto assets are cold stored – that’s held in servers that are not connected to the internet – and insured by a major third-party institutional custody provider in the US. The corresponding physical gold, silver, and platinum of their precious metals tokens are stored and insured by a leading bullion house.
5. Disadvantages of Wealth99
- Wealth99 is a new kid on the block compared to some other major investment companies, however, this is to be expected as tokenization is itself a new technology.
- The range of assets offered by Wealth99 is currently fairly small, being restricted to a selection of the top cryptos and gold, silver and platinum. However this could also be seen as an advantage – as Wealth99 has made the conscious decision to only include major and proven crypto assets, which meet their high standards as high-growth-potential opportunities.
- Currently, Wealth99 is only up to primarily serve clients in Australia and the UK.
How to sign up to Wealth99
Wealth99 emphasises the value of personal service by real people. The first step for most new clients is a conversation with the Wealth99 alternative tokenized asset specialist. While these people don’t give financial advice, they are there to answer your questions and support and guide you on what they call ‘your investment journey.’
Signing up as a client is done online using the Wealth99 investment platform. As with all regulated financial companies, there are a few KYC and AML regulations to comply with, so make sure you have a photo ID and proof of residential address on hand before you start.
Wealth99 is a new-generation wealth platform offering tokenized alternative investment assets. It offers everyday, small-scale investors opportunities to diversify a portion of their portfolios away from traditional assets into alternative types. In the case of Wealth99, those alternative types include tokenized precious metals and cryptocurrencies. Safety and security seem to be very high on their list of priorities.
Signing up and using their DIY platform is easy, and their dedicated customer service team is there to fall back on when you have questions.
Overall Wealth99 is worth a conversation if you live in the UK or Australia, and alternative assets interest you as a way to spread your investment risk and diversify. It could also be a good way to get exposure to the coming wave of tokenization of assets.
For more information about Wealth99 and to evaluate if its right for you visit wealth99.com