Trust and security

We’ve taken every step possible to ensure your gold and silver holdings are in safe hands.

Kinesis gold and silver holdings

Physical precious metals – with digitalised proof of ownership.

Kinesis gold (KAU) and Kinesis silver (KAG) are a 1:1 digital representation of fully allocated physical gold and silver bullion. Through blockchain technology, Kinesis has digitalised the proof of ownership of physical precious metals.

All precious metals underpinning KAU and KAG are fully reserved (1:1), fully audited, fully redeemable, and securely held within the insured vaults of Kinesis’ strategic partner, Allocated Bullion Exchange (ABX).

The fully redeemable investment-grade bullion behind your Kinesis currencies is secured to world-class standards in logistics, storage, insurance, quality control, quality assurance and institutional good practice.

For the full specifications of Kinesis gold and silver-based digital currencies, as well as the underlying bars, please visit our gold and silver asset pages.

Counterparty risk protection

Our system is structured to shield holders from counterparty risk.

Kinesis is a fully integrated financial services platform, enabling online management of physical precious metals via a desktop platform and mobile application. Once a Kinesis user purchases KAU or KAG, that user is the absolute owner of the underlying metal; they are not exposed to the counterparty risk that can occur in the case of a bank or broker insolvency, or the management of a securitised asset.

Over 10 years’ experience

Kinesis was born from the institutional heritage of ABX.

Kinesis was founded by Allocated Bullion Exchange (ABX), a leading institutional exchange with over 10 years of experience trading fully allocated precious metals globally. ABX is a public company with an outstanding reputation in the precious metals space.

Founded in 2011, ABX brings its extensive global vaulting network and precious metals trading experience to the operation of Kinesis and the secure, transparent custody of all gold and silver bullion holdings. Furthermore, Allocated Bullion Exchange is integrating with leading clearing house European Commodity Clearing (ECC), a member of the Deutsche Borse group.

ABX provides the highest levels of transparency, accessibility and accountability with respect to all services associated with the provision of trading, storing and transporting fully allocated physical gold and silver bullion.

Through ABX, Kinesis is able to leverage a vast network of vaulting, logistics, liquidity and institutional-grade metals exchanges.

Fully allocated metal ownership

Fully reserved holdings with (one-to-one) metal allocation, at all times.

With Kinesis, you are the owner of the physical gold and silver, underpinning your KAU and KAG, at all times. Remember, each KAU (one gram of gold) and KAG (one ounce of silver) are directly allocated 1:1 with the corresponding weight of physical precious metal.

The holder of Kinesis currencies holds the full legal title of the underlying quantity of physical gold and silver. At no point, will the bullion behind Kinesis digital currencies ever appear on the balance sheet of Kinesis or Allocated Bullion Exchange (ABX). Resultantly, neither Kinesis nor ABX has any direct claim on the metals. We simply safeguard the metals within our vaults, on your behalf, free of charge.

We are able to offer Kinesis users chargeless storage on their precious metals holdings, by utilising the robust vaulting network of ABX. Additionally, a share of Kinesis global transaction fee revenue is allocated to covering vaulting costs.

In terms of assurance, Kinesis gold and silver-based digital currencies are the next best thing to holding your own physical gold and silver. While all underlying metals are fully redeemable, digitally representing gold and silver brings holders the added benefits of online management, monetary application, instant trading, and the security of state-of-the-art vaulting facilities.

Physical redemption

All Kinesis gold and silver holdings are fully redeemable.

Kinesis and ABX understand the absolute necessity of physical redemption in gold and silver provision. As a matter of imperative assurance, Kinesis offers physical redemption on all precious metals behind your gold and silver-based digital currencies.

Kinesis currency holders are fully entitled to redeem the underlying bullion the KAU & KAG are based on, subject to withdrawal fees and minimum withdrawal requirements. The redemption cost and minimum withdrawal requirements of Kinesis are among the lowest in the industry.

Kinesis enables users to redeem as little as 100 grams of gold or 200 ounces of silver, with a fee of 0.45% + $100 USD + delivery costs. We provide redemption of the underlying bullion through our logistic partners Loomis, Brinks and Malca-Amit.

Redeeming bullion simultaneously liquidates the digital representation of the bullion and removes the respective currency from KAU or KAG circulation.

Independently audited holdings

All Kinesis holdings undergo quarterly, independent audits.

With over 10 years of experience in the precious metals industry, we understand the necessary assurance only complete transparency provides. All gold and silver bullion held by Kinesis undergoes independent, third-party audits, four times a year.

We employ the world-class independent audit and inspection specialist, Inspectorate International, a Bureau Veritas company, to conduct regular, independent, physical audits of all bullion underpinning Kinesis gold and silver-based digital currencies. The quantity of gold and silver held in our vaults is checked against the record of all KAU and KAG in circulation, stored on our blockchain.

Regular independent audits verify that every KAU and KAG within the Kinesis monetary system is based on an exact 1:1 allocated quantity of gold and silver bullion. Additionally, independent auditors perform a series of assessments to ensure the weight and fineness of the bullion are as stated, and the quality of the storage is satisfactory.

The results of all of our audits are publicly available – here.

Immutable digital record

Kinesis offers real-time access to view all of the Kinesis gold and silver-based digital currencies in circulation.

Each time new precious metals are introduced into the system a record is stored on the blockchain, maintaining an immutable and irrefutable ledger of all KAU (gold) and KAG (silver) within the system. During our quarterly, independent audits, our blockchain enables auditors to ensure that the quantity of gold and silver held in our vaults corresponds exactly with the quantity of KAU and KAG in existence.

Access a live public record of every KAG (1oz of silver) and KAU (1g of gold) within the Kinesis Monetary System on the Kinesis Blockchain – here.

For an in-depth technical and operational breakdown of the Kinesis Blockchain read our explainer – here.

Secure and fully insured vault storage

All bullion is securely held within fully insured vaults.

All precious metal held by Kinesis is fully allocated. Kinesis gold (KAU) and silver (KAG) are based 1:1 on physical gold and silver bullion, stored within fully insured, secure vaulting facilities in: Dubai, Hong Kong, Istanbul, Vaduz, London, New York, Singapore, Sydney, Toronto, Zurich, Panama City, Batam and Brisbane.

Through ABX, Kinesis is able to access robust global vaulting infrastructure, ensuring all precious metals are safeguarded to the highest standards. Furthermore, Kinesis is partnered with world-renowned vaulting providers: Loomis Zurich (Nasdaq OMX: LOOM) and Brinks (Nasdaq NYSE: BCO).

Quality assurance

Our rigorous standards ensure the quality of all gold and silver bullion.

All of the bullion within the Kinesis Monetary System is of investment-grade quality, with a minimum fineness of 9999 (gold) and 999 (silver).

Under the ABX Quality Assurance Framework (QAF), all bullion has a verified audit trail and is stored in regularly audited, transparent holdings systems, with verification in place.

KAU (Gold Payment Currency)
1 Fine gram gold contract and token, consisting of gold bullion of a minimum fineness of 9999, and bearing a serial number and identifying stamp of a refiner as per the ABX QAF.

KAG (Silver Payment Currency)
1 Ounce silver contract and token, consisting of silver bullion of a minimum fineness of 999, and bearing an identifying stamp of a refiner as per the ABX QAF, and may bear a serial number.

To view the bar specifications of the physical gold and silver bullion behind Kinesis gold and silver-based digital currencies, please visit our gold and silver asset pages.

Kinesis Bullion

Kinesis operates a physical Mint facility offering minting and assaying of gold and silver bullion produced for the Kinesis Bullion store and bullion wholesalers. Based in Istanbul, Turkey, Kinesis’ state-of-the-art refinery reaffirms its position as a global leader in the precious metals space. The 5,600m² refinery grants Kinesis wholesale minting and production capabilities on a global scale.

The Kinesis Bullion store is operated by Kinesis, providing retail investors with fairly-priced, ethically-sourced coins and bars of investment-grade quality. 

Kinesis’ close control over each stage of the production of our products allows us to maintain superior value across our bullion products. All coins and bars are subject to lab testing procedures that ensure the highest measure of purity: 

  • Gold bullion is a minimum fineness of 9999+
  • Silver bullion is a minimum fineness of 999+

 

Investment-grade bullion at the Kinesis Bullion store is available at fair, transparent, live prices that are among the lowest in the industry. 

Visit the Kinesis Bullion store – here.