The recent launch from Kinesis and Baanx, which provides an alternative precious metals-based monetary system, is looking to ease growing concerns over spiralling inflation. 

We spoke to Thomas Coughlin, CEO of Kinesis Money, who described the significance of the timing of the launch, as well as why challenging the flaws of the current financial system is crucial. 

Payment Expert: Firstly, are you able to tell us more about Kinesis Money and the importance of an alternative precious metals-based monetary system?

Thomas Coughlin: In a time when legacy economic systems are failing individuals and nations alike, a monetary alternative based on physical precious metals seemed like a natural progression. Kinesis reintroduces gold and silver as a universal currency that empowers the global community to protect and grow their wealth in the historically stable value of precious metals – while also making their assets easily spendable.

Although precious metals have always served as hedges against inflation and economic turbulence, the assets were traditionally illiquid and expensive to store. Yet, blockchain technology has allowed us to deliver instant access to precious metals – previously reserved for a small percentage of the population – to the global community. Kinesis has successfully conceived an intrinsically valuable digitalised asset with the high liquidity and efficiency of crypto but none of its inherent volatility – with all storage fees covered.

Currently available in over 60 countries, the recently launched Kinesis Virtual Card makes physical gold and silver instantly spendable for the global community through the global Mastercard network. By rendering physical gold and silver highly spendable and universally accessible, and with 57.5% of global transaction fee revenue shared as yields, we believe that Kinesis delivers an evolutionary step beyond any monetary model currently available. 

PE: Why is the timing so vital for this launch, given the state of many financial institutions?

TC: Even just a glance at the current economic landscape shows that the timing of the Kinesis Virtual Card release could not be more critical. Rising inflation is a global problem, and all traditional financial institutions can do to help is offer underwhelming interest rates. Alarming levels of the national debt are diminishing faith in the current system. 

In this climate, the Kinesis Virtual Card gives everyday people the opportunity to make a complete transition away from inflation-hit paper currencies into time-proven economic security of precious metals. Additionally, users generate a return in gold or silver on their daily spending, through the innovative Kinesis yield system, rewarding them for participation. Kinesis allows users to consciously choose the assets in which they spend and save, avoiding exposure to fiat’s devaluation.

PE: How vital is it that the tech is available across the board and to a wide demographic of consumers?

TC: Providing financial access to the global community, while challenging the flaws of traditional models, is one of the fundamental aspects of the Kinesis vision. Anyone, anywhere in the world with a mobile phone can easily activate their Kinesis Virtual Card and start spending precious metals straight almost instantly, outside of the fiat system. 

Available across the UK, Europe, Canada, Latin America, Australia and Oceania, the card provides access to the enduring value of physical precious metals. The card offers a simple low cost for those affected by inflation to exit faltering economic systems. The importance of the card becomes all the more apparent when we consider the worst-hit nations, such as Argentina, where inflation is expected to reach 100% by the end of 2023. 

This way, system users can take control of their money regardless of their socioeconomic circumstances, with one end-to-end platform. Citizens globally can save their hard-earned money in inflation-proof assets, easily send them abroad without paying expensive remittance fees and spend gold and silver instantly. 

The global availability of the card is crucial to Kinesis’ vision. For this reason, Kinesis will continue to sequentially roll out the card program globally, with a US-specific virtual and physical card set to follow.

PE: Why is this offering so crucial when it comes to bridging the gap between fiat and digital currency?

TC: By facilitating the seamless conversion between fiat, precious metals and crypto, Kinesis brings forward an important layer of accessibility and convenience to all users who can effortlessly switch between currencies depending on their needs.

The card allows users to protect their money in the stable value of gold and silver – or hold crypto – and then immediately convert the asset to fiat at one of the 80M+ points of sale globally. Kinesis’ provision of instant liquidity and spendability removes the necessity of trading their metals on an exchange or complex, lengthy bank withdrawals. There are no sacrifices required from everyday users seeking refuge from inflation-hit fiat currencies. Instead, citizens everywhere are presented with a straightforward and highly inclusive monetary alternative, allowing them to exit from the traditional model.

PE: What is the next step for expansion for Kinesis Money?

TC: The end of 2022 is an exciting time for Kinesis. We’re soon to launch the Kinesis Pro; a tailored professional cryptocurrency trading platform, offering a wide range of digital assets and featuring high liquidity trading pairs, innovative trading tools and best-in-class security. 

Additionally, we’re now gearing up for the nationwide launch of POSPAY GOLD, the gold-based financial application, created in partnership with the Indonesian state-run postal service, PTPos. 

This integration will deliver access to gold-based payments and saving infrastructure to millions of previously unbanked and underbanked citizens of the 270M+ Indonesian nation, demonstrating the proven scalability and impact of the Kinesis Monetary System’s utility. Importantly, this integration fulfils Kinesis’ mission statement of providing a fairer, honest and more sustainable system for the global community.

This partnership with government entities is the first, but it will not be the last. We will be releasing details of another integration in the weeks and months ahead.