For the complete documentation index, see llms.txt. This page is also available as Markdown.

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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