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IAMGOLD invests in fin-tech firm

Canadian mid-tier miner IAMGOLD (TSX:IMG) has made a strategic investment of an undisclosed amount in a financial technology company that uses blockchain technology to track the provenance of responsibly sourced gold.
IAMGOLD invests in fin-tech firm IAMGOLD invests in fin-tech firm IAMGOLD invests in fin-tech firm IAMGOLD invests in fin-tech firm IAMGOLD invests in fin-tech firm

Staff Reporter

IAMGOLD joined partners that included Sprott Inc, Valcambi and Yamana Gold, in investing in the innovative gold supply chain and digital token platform developed by Emergent Technology Holdings (EmTech).

EmTech's ‘responsible gold' supply chain application was the only blockchain solution that automated the tracking of responsibly sourced gold from origin to vault, IAMGOLD said.

This gold is digitised into G-Coin tokens, which are digital certificates of title to responsibly sourced gold. G-Coin tokens can be bought as investments, moved easily to transfer wealth or make payments, and are redeemable for physical gold.

IAMGOLD said EmTech's G-Coin tokens were the foundation for a liquid, digital gold trading market. EmTech's proprietary blockchain technology reduced the operational expenses associated with gold tracking and trading and improved the security and transparency over traditional supply chain and trading platforms.

"Innovation is a key aspect of the industry's modernised operating model, and as miners we must begin thinking more strategically to stay sustainable and profitable in the future," CEO Steve Letwin said.

"By placing us at the forefront of an exciting new blockchain-based ecosystem, this investment will allow IAMGOLD to unlock new value by revolutionising provenance and efficiency and providing greater transparency in the supply chain."

G-Coin tokens will be available for purchase later this year.

IAMGOLD gained 1.98% on the TSX Wednesday at C$5.15 a share, but was down 31.5% over the past 12 months at a market valuation of $2.4 billion.