China's gold ATM turns your jewelry into cash in minutes
What's the story
Shanghai has created history by installing the world's first 'gold ATM.' The innovative machine, operated by China's Kinghood Group, is changing the way people sell their gold.
The ATM employs advanced technology to weigh, check quality and assay gold before dispensing cash equivalent to its value.
As a result of skyrocketing gold prices, many are flocking to this ATM in a Shanghai mall to sell their generational jewelry.
Pricing details
Kinghood Group's gold pricing strategy
The Shanghai Gold ATM provides a buyback price of $98 per gram and a selling price for AU999 gold jewelry at $116 per gram.
These rates are a tad lower than other branded stores owing to Kinghood Group's own gold mining rights.
Despite this pricing advantage, the China Gold sales representative said their customer traffic is relatively quiet but better than other stores without direct mining sources.
Market impact
Smart gold ATMs: A business perspective
Xu Weixin, a member of the Shanghai Gold Association, explained that the main purpose of smart gold ATMs is recycling from a business perspective.
He noted that rising gold prices have significantly increased its value among the public, leading to a stronger desire to cash out.
However, he also advised against rushing into selling gold for immediate gratification and suggested considering holding onto it for an extended period instead.