Vending machines that dispense gold may be making their way to the U.S. A company named Gold to Go has hopes of installing a “couple of hundred” machines in the upcoming year according to an article on CNBC.com.
Already, these vending machines can be seen at the Dubai Airport and major hotels and banks throughout the Middle East, but, my questions is, where are these machines going to be placed in the U.S.? On some street corner in Manhattan or on Rodeo Drive? No, they will first appear in Florida, home to many retirees, and then Las Vegas, home (and vacation spot) to many a gambler! This makes sense to me since many say that investing in gold can lead to a guaranteed profit and secure life, and with the way the price of gold has only been going up these days, not a bad gamble!
So I have to admit, I’m intrigued. Gold prices did jump over $1300 an ounce last Tuesday for the first time ever! Some investors are even saying gold prices could continue rising for several more years. So why not try to get a leg up on this surge and place gold vending machines around the U.S., adding a touch of modern-day convenience for investors. The machines are said to update the cost of gold every ten minutes to match international markets. You simply need to insert your cash or credit card and in return you receive a small bar of gold in 1 gram, 5 gram, 10 gram or 1 ounce units. (But you might want to look over your shoulder before starting to walk away with a $1300 ounce of gold in your pocket – although that could just be the New Yorker in me talking!)
There has been a fair share of investor unease for the past two years leading to the spiked interest in gold, so I can see why these machines seem like a good idea. But, just to play devil’s advocate, what happens if the demand for gold goes down? Is this a risky endeavor for Gold to Go? Apparently not! A gold barsrepresentative for Gold to Go was quoted as saying, “Whether gold drops to $500 or goes to $2000, we are living from small spreads, and we give people the best price they can get on a minute basis in the machine, so we’re pretty fine with any price.” Though, I wonder if this is such a safe endeavor, why hasn’t this idea been thought of before now?) I guess only time will tell if these gold vending machines will be the Next Big Thing for investors.