Understanding Tokenized Silver (TASS)
Silver has long been valued as both a precious metal and an industrial commodity, but owning it physically comes with real-world frictions that many investors underestimate. Tokenized silver (TASS) was created to remove these barriers by combining physical silver ownership with blockchain-based efficiency.
In this article, we explain what tokenized silver is, why it exists, and why investors are increasingly choosing it over traditional physical ownership.
To explore how TASS works in practice, including ownership structure, storage and insurance, pricing, redemption, and what you should understand before investing, please check this article.
What Is Tokenized Silver?
Tokenized silver represents ownership of physical silver via a blockchain-based token. Each token acts as a digital receipt of ownership, backed by silver held in secure, insured vaults. Tokenisation addresses many practical challenges of physical silver ownership, including:
- Buying
- Transportation
- Storage
- Security
Investors can buy, sell, and track their holdings digitally with greater efficiency and liquidity.
What Are The Issues With Physical Silver?
While silver is a popular investment, owning it physically presents several difficulties:
- Silver is ~40 times heavier than gold
- Transport and storage carry security risks
- Home storage is increasingly vulnerable
- Dealer premiums can exceed 20% above spot prices
- Liquidity can be limited during market stress
These frictions are often only realised once investors attempt to trade or store physical silver themselves.
Why Tokenised Silver?
Tokenized silver addresses these challenges by offering:
- Online purchase via a Wealth99 account
- Secure storage in insured vaults
- No personal transport or storage risks
- Faster execution and liquidity
- A small monthly membership fee as the only ongoing cost
This approach allows investors to focus on exposure to silver, rather than the logistics of owning it.
Who holds the silver?
Silver is sourced from and stored with ABC Bullion, the largest silver refiner and bullion company in the Southern Hemisphere.