As economic fears drive gold prices to new highs, the creator of a gold-dispensing ATM is attracting attention around the globe.I first saw these machines a couple of months ago online and dismissed it as yet another destined-to-fail luxury service designed for high net-worth individuals. I don't really understand how so many people can come up with expensive, useless shit and expect wealthy people to buy it, just because they can afford it. Anyway, it looks like the gold vending machines are gaining popularity, which to me says: "Bubble!" Buy into gold if you want, I don't care. Just make sure you sell out when you start hearing tales of people buying Kugerrands with their credit cards and flipping them before their payment is due. This is totally going to end in tears. Oh, by the way, remember when cash-for-gold was all the rage two years ago? Retail investors really are a bunch of mouth breathers.
Germany-based GOLD to go, which is currently churning out 50 gold machines a month to meet a recent jump in demand, launched its first ATM in Abu Dhabi's Emirates Palace Hotel earlier this month and opened its second in Germany last week.
"We are going to make gold public with these machines," said Thomas Geissler, CEO of Ex Oriente Lux AG, which owns GOLD to go. "The prices are so easy to control that we're going to de-mystify gold and make it easier for anyone to buy it."
Sunday, June 6, 2010
Gold bullion vending machines actually gaining popularity
Yahoo news reports:
Labels: asset bubbles, gold, retail investors, stupid ideas
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It's rare that people writing about finance have an actual concrete opinion, let alone, a voice. Good stuff. And I agree once stuff is dispensed in a machine it's probably not a good time to invest for growth. I'm thinking of phone cards, Best Buy machines dispensing Zunes, and ATM's dispensing the American dollar.ReplyDelete