Saudi Aramco Explores Collaboration for Investing in Digital Assets
Saudi Aramco, the largest oil and gas company by market cap, has partnered with SBI Holdings, a financial services group in Japan, to explore a potential collaboration for investing in digital assets. With a market capitalization of over $2 trillion, Saudi Aramco is considering venturing into the world of digital assets. The partnership with SBI Holdings aims to leverage both companies' investment portfolios and explore opportunities in various fields, including digital assets.
A Memorandum of Understanding for Digital Asset Investment
The partnership is solidified by a memorandum of understanding (MOU) between Saudi Aramco and SBI Holdings. The MOU outlines the collaboration between the two companies in the field of digital assets and co-investments. SBI Holdings has a strong presence in the digital assets sector, with investments in companies utilizing digital assets in their business models. Notable partnerships include Circle, a stablecoin company, and Ripple, a crypto-based payments company.
Supporting Japanese Startups in the Middle East
As part of the collaboration, Saudi Aramco will identify and support Japanese startups in the digital assets space that are interested in expanding their business to the Middle East. This support will include facilitating their entry and growth in the region. Additionally, the memorandum mentions the potential launch of projects in the semiconductor industry. Saudi Aramco is considering establishing factories in Saudi Arabia and Japan in collaboration with Powerchip Semiconductor Manufacturing Corporation, a Japanese organization.
SBI Holdings Expands Influence with "SBI Middle East"
SBI Holdings plans to establish a subsidiary called "SBI Middle East" to further expand its influence in the region and explore new business avenues. This move demonstrates SBI Holdings' commitment to growing its presence in the Middle East.
Past Investments in Blockchain-Linked Companies
This is not Saudi Aramco's first foray into the world of blockchain and digital assets. In 2020, the company invested $5 million in VAKT, a global commodities blockchain digitization business. Furthermore, Saudi Aramco signed an MOU with Droppgroup, a Web3 tech development platform, in February.
What are your thoughts on Saudi Aramco's potential investments in the crypto space? Share your opinions in the comments below.
Frequently Asked Questions
Can I keep physical gold in an IRA?
Not just paper money or coins, gold is money. People have used gold as a currency for thousands of centuries to preserve their wealth and keep it safe from inflation. Investors use gold today as part of their diversified portfolio, because it tends to perform better in times of financial turmoil.
Today, many Americans invest in precious metals such as gold and silver rather than stocks and bonds. Even though owning gold is not a guarantee of making money, there are many reasons why you might want to add gold to your retirement savings portfolio.
Another reason is that gold has historically outperformed other assets in financial panic periods. Between August 2011 and early 2013 gold prices soared nearly 100 percent, while the S&P 500 plunged 21 percent. Gold was one of the few assets that performed better than stocks during turbulent market conditions.
Another benefit to investing in gold? It has virtually zero counterparty exposure. If your stock portfolio goes down, you still own your shares. If you have gold, it will still be worth your shares even if the company in which you invested defaults on its debt.
Gold provides liquidity. This means that, unlike most other investments, you can sell your gold anytime without worrying about finding another buyer. Gold is liquid and therefore it makes sense to purchase small amounts. This allows for you to benefit from the short-term fluctuations of the gold market.
Is gold buying a good retirement option?
Although it may not look appealing at first, buying gold for investment is worth considering when you consider the global average gold consumption per year.
The best form of investing is physical bullion, which is the most widely used. You can also invest in gold in other ways. It's best to thoroughly research all options before you make a decision.
If you're not looking to secure your wealth, it may be worth considering purchasing shares in mining equipment or companies that extract gold. If you are looking for cash flow from your investment, buying gold stocks will work well.
ETFs are an exchange-traded investment that allows you to gain exposure to the market for gold. You hold gold-related securities and not actual gold. These ETFs typically include stocks from gold miners, precious metallics refiners, commodity trading companies, and other commodities.
Should You Buy Gold?
Gold was once considered an investment safe haven during times of economic crisis. Many people are now turning their backs on traditional investments like stocks and bonds, and instead look to precious metals like Gold.
While gold prices have been rising in recent years they are still low relative to other commodities, such as silver and oil.
This could be changing, according to some experts. Experts believe that gold prices could skyrocket in the face of another global financial crisis.
They also mention that gold is becoming more popular due to its perceived worth and potential return.
Here are some things to consider if you're considering investing in gold.
- Consider first whether you will need the money to save for retirement. It is possible to save for retirement while still investing your gold savings. That said, gold does provide an additional layer of protection when you reach retirement age.
- Second, ensure you fully understand the risks involved in buying gold. Each type offers varying levels and levels of security.
- Last but not least, gold doesn't provide the same level security as a savings account. Your gold coins may be lost and you might never get them back.
You should do your research before buying gold. Make sure to protect any gold you already own.
Statistics
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- This is a 15% margin that has shown no stable direction of growth but fluctuates seemingly at random. (smartasset.com)
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
- The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)
External Links
bbb.org
irs.gov
wsj.com
- Saddam Hussein’s InvasionHelped Uncage a Bear In 1989 – WSJ
- How do you keep your IRA Gold at Home? It's Not Exactly Legal – WSJ
forbes.com
- Gold IRA: Add Some Sparkle To Your Retirement Nest Egg
- Understanding China's Evergrande Crisis – Forbes Advisor
How To
The best place to buy silver or gold online
To buy gold, you must first understand how it works. It is a precious metal that is very similar to platinum. It's very rare and is used as money because of its durability and resistance to corrosion. It's hard to use, so most people prefer buying jewelry made out of it to actual bars of gold.
There are two types of gold coins available today – one type is legal tender, while the other is called bullion. Legal tender coins are designed for circulation in a country. They often have denominations like $1 or $5 or $10.
Bullion coin are not intended for investment. However, their value will increase with inflation.
They aren’t exchangeable in any currency exchange. For example, a person who buys $100 worth or gold gets 100 grams. This gold has a $100 price. Every dollar spent on gold purchases, the buyer receives one gram of gold.
When looking to buy precious metals, the next thing you should be aware of is where it can be purchased. There are a few options if you wish to buy gold directly from a dealer. You can start by visiting your local coin shop. You can also try going through a reputable website like eBay. You may also be interested in buying gold through private sellers online.
Individuals who sell gold at wholesale and retail prices are called private sellers. You pay a commission fee between 10% and 15% for each transaction when you sell gold through private sellers. This means that you will get less back from a private seller than if you sell it through a coin shop or on eBay. This option can be a good choice for investing in gold because it allows you to control the price.
An alternative option to buying gold is to buy physical gold. Although physical gold is easier to store than paper certificates you will still need to ensure it is safe. To ensure that your physical gold remains safe, you need to secure it in an impenetrable container such as a vault or safety deposit box.
If you are looking to purchase gold on your own, you have two options: a bank or an pawnshop. A bank can offer you a loan for the amount that you need to buy gold. The pawnshop is a small business that allows customers to borrow money to buy items. Banks charge higher interest rates than those offered by pawn shops.
Finally, another way to buy gold is to simply ask someone else to do it! Selling gold is also easy. You can contact a company like GoldMoney.com to set up an account and receive payments right away.
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By: Sergio Goschenko
Title: Saudi Aramco Partners With SBI Holdings to Potentially Invest in Digital Assets
Sourced From: news.bitcoin.com/worlds-largest-oil-company-saudi-aramco-partners-with-sbi-holdings-to-potentially-invest-in-digital-assets/
Published Date: Wed, 13 Dec 2023 09:30:14 +0000
