On July 13th, inflation officially hit 9.1%, its highest level in over 40 years.
The same day, the S&P 500 index entered a bear market, with its value plummeting 21%. Significant contributors to this dramatic inflationary trajectory reportedly include the rising cost of energy and worsening geopolitical instability.
These sustained pressures on inflation have led to some offering predictions that a recession will most likely hit the U.S. economy in the first half of 2023. During this period of uncertainty, demand for gold has continued to increase even while concerns around a recession have grown, arguably indicating the precious metal’s classic stability amid market fluctuations.
Gold has demonstrated an ability to withstand both short- and long-term global uncertainties, a long-known fact recently affirmed by a new study from the World Gold Council. This remains true even as many cryptocurrencies, which have sought to rival precious metals and traditional currencies, have seen a sharp decline. Bitcoin (CRYPTO: BTC), Ethereum (CRYPTO: ETH) and Dogecoin (CRYPTO: DOGE) are leading cryptos that have struggled in 2022.
While investing in gold can be one way to broaden a portfolio, it can seemingly also feel inaccessible or even a little old-fashioned. Asia Broadband Inc. (OTC: AABB) is one example of a company that says it has tried to tackle these obstacles in a way that makes gold investment both approachable and modernized.
A Company Mining For Innovative Solutions? Asia Broadband reports an ambitious model that seeks to unite the long-term reliability of gold with both traditional and innovative investment opportunities — the company has a unique vertical integration supply chain that allows streamlined production, supply and sales of its precious and base metals to a diverse, primarily Asian market. It states that it balances this sophisticated international market network with strong relationships with the communities it operates in.
Asia Broadband’s vertical integration model allows it to create a mine-to-token cryptocurrency — the AABB Gold token — backed by the company’s gold supply. By backing its crypto with gold Asia Broadband has sought to provide stable value to protect it from fluctuations affecting cryptos where value is essentially demand-based.
The company says it has united this cryptocurrency with a proprietary exchange that allows for crypto trading, and that these two additions combine to create a uniquely strong vertical integration system that is part of what its website describes as a “pioneering philosophy … that strives toward complete independence from fiat currency.”
Asia Broadband launched the product in March 2021 and has reported steady growth in its traditional gold mining initiatives. The company reported $100 million in assets last year and announced plans to double the mining output in its Tequila mines by the end of 2022.
To learn more about Asia Broadband Inc., visit its website. You can learn more about the AABB Exchange here.
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