Onboarding Gold Bullion Reserves as Collateral

Proved gold reserves backed by a Geologist survey to serve as RWA on the MKR.

I am an attorney, MKR holder, and general crypto enthusiast that would love the opportunity to help push the RWA initiative forward.

The 6s Capital structure would work well with gold reserves. Any thoughts or concerns? Is MKR ready for this type of collateral?


The immediate issue is that gold does not produce cash flow and requires paying a management fee to keep in storage. So there is a drag on performance right out of the gate. However, it would be a way to diversify from the current DeFi collateral and stablecoins.

There is a discussion about PAXG here. This is basically an ERC-20 token backed by gold.

Overall, I absolutely agree with the sentiment. Gold is one of the best real world assets to mint DAI with and we should be pursuing every such option.