7. Legal, Risk & Trust
ORO is built to combine the transparency and programmability of crypto with the compliance and legal protections of traditional gold markets.
Our structure is designed to ensure that every $GOLD token is not only fully backed, but also legally enforceable and redeemable.
7.1 Bankruptcy Remoteness
The ORO protocol is structured to ensure bankruptcy remoteness and protect users’ assets from counterparty and operational risk
Legal title to the gold is held by a bankruptcy-remote foundation: ORO Foundation, not by a borrower, exchange, or custodian
This Structure ensures that users' gold is shielded from any liabilities of the platform, its operators, or third-party partners
The Foundation’s sole purpose is to safeguard the gold backing ORO tokens, providing maximum security and legal clarity for token holders
This structure separates technology, issuance, and custody ensuring transparency, auditability, and regulatory clarity.
7.2 Asset Backing and Audits
Each $GOLD token represents one troy ounce of LBMA & UAE GD-certified physical gold, held in third-party certified vaults under a trust structure:
All $GOLD holders maintain beneficial ownership of all underlying physical assets
Held in fully insured vaults by regulated brokers
Audited regularly by third-party firms
Backing is reconciled with on-chain supply monthly
Proof-of-reserves published publicly
No fractional reserve. No synthetic claims. No internal rehypothecation.
7.3 Trust-Minimized Structure
Separate entities handle token issuance and asset custody to ensure security and accountability
All redemptions require KYC/KYB verification for full traceability and compliance
Regular audits and inspections verify the integrity of physical gold backing
7.4 Redemption Rights
Token holders always retain the legal right to redeem $GOLD for the equivalent physical or cash value, subject to KYC and jurisdictional restrictions.
$GOLD is not a security, derivative, or speculative token
It is a digital bearer instrument for ownership of real gold
Redeemability is enforced by contractual rights and supporting infrastructure
This ensures that holders are not reliant on a single party for enforcement redemption flows are backed by regulated entities and third-party contracts.
7.5 Legal Disclosure
ORO is a non-custodial platform, not a bank, broker, or investment adviser. Users are responsible for ensuring compliance with their local regulations.
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