After having slept on this, I feel no better about it and feel ok calling this whole thing fraudulent. You can't price something in terms of Commodity "A" but then deliver it in Commodity "B". I know it happens all the time...and every time it does, a little bit of fraud happens. I'm not putting a lot more thought into this...its a scam and will end bad unless they change it to back it with bullion. If @stan and any fool buying into this thinks the free vaulting and 3 second transaction time is worth a 280% markup, then have fun...I'm just going to watch it from the sidelines.
Where does Quintric say that they price in commodity A and deliver in commodity B? They use the US Mint listed price for a Gold Eagle for the Quint. They will make a market in this and keep the price there. You can send them your Quint and for every 1000 Quint they will send you 1 Gold Eagle. The Quint is then extinguished and no longer circulates. The American Gold Eagle is a true currency of the 50 states. Having 1000 Quint is the same as owning 1 Gold Eagle and can be used for all transactions in the 50 states of America as well as all debts public and private. It is not a commodity and cannot be taxed. It could be worth $1M next month and the IRS cannot tax capital gains on it. If you want to hold gold as a hedge against the FRN (Federal Reserve Note) or to fight the FED and also want to be able to easily spend that gold without assaying / weighing machines then the Quint fits the bill. With that said, why would I ever use Tether now that the Quint exists? Tether is linked to the FRN which makes Tether a digital ponzi scheme. Quint is lawful money and legal tender.
They are pricing the Quints (Gold and Silver) based off "Proof" coins (which don't hold their numismatic value in the free market) but if you request delivery, they deliver a "Bullion" version. So they are not priced off of what will be delivered.
And you have to pay Federal capital gains taxes in the USA on Gold and Silver bullion gains just like any other commodity. They same will be true for the "Quint" if anyone is foolish enough to buy into it and make a gain and then report it.