INTERVIEW: Fintech Company Coro to Launch Gold Payments App as it Prepares for Nasdaq Listing
Coro Global Inc. CEO J. Mark Goode
For most investors, the only sensible ways to own gold are to buy ETFs like SPDR Gold Shares (ticker: GLD) and iShares Gold Trust (ticker: IAU) or perhaps put coins and bars in a safe. But none of those options can help turn gold into a currency that’s convenient for payments.
Soon, gold payments will become much easier thanks to Coro Global Inc., which currently trades on the OTCQB (ticker: CGLO) and expects to soon begin trading on Nasdaq (ticker: CORO). Coro plans to launch app on August 1 that will initially allow users to not only buy and sell gold, but make payments between each other as they might on PayPal Holdings Inc.’s Venmo – in dollars or gold.
In an interview with IPO Edge, Coro CEO J. Mark Goode explained that the company complies with regulators at three levels: The Securities and Exchange Commission (SEC), FinCEN at the U.S. Treasury, along with state banking and finance regulators. Coro also has a robust “know your customer” framework designed to reduce the risk of any bad actors joining the platform. And for even more peace of mind, customers can request that physical gold in their accounts be sent to them at any time.
Looking ahead, Mr. Goode sees opportunity in B2B payments and to enter international markets, starting with Mexico and Canada. The full interview is below:
IPO Edge: Who is the initial target user for the Coro app and is there a minimum amount of money needed to use it?
The initial Coro users will be U.S. individuals making payments between each other. Our users will have the ability to send and receive U.S. Dollars (USD), and for the first time, the same ability to send and receive gold (XAU). Coro has democratized access to gold for every user, regardless of income, wealth or financial experience.
After the U.S. roll-out to individual customers, Coro will focus on opening up access to business users and merchants for B2B/B2C transactions. Coro’s technology allows users to transact in U.S. dollars (USD) or gold (XAU) in increments as small as a penny. In 2021 Coro expects to expand to users in Mexico and Canada.
IPO Edge: Can Coro accommodate very large transactions in addition to small exchanges between friends as on Venmo?
Yes, our next generation AML/KYC compliance technology allows for careful due diligence and evaluation of all new Coro users during the onboarding processes. Our AML/KYC tech allows for the customer due diligence to be accomplished rapidly and efficiently, while ensuring a positive and convenient user experience. This enhanced due diligence during the onboard process, as well as sophisticated ongoing transaction monitoring technology, provides our users with the opportunity to transact in small amounts and at higher values.
IPO Edge: How quickly can someone be approved to begin using the app once it’s launched?
Users are able to download and enroll with Coro in a matter of minutes. Our customer verification and background check process is fully automated and contained within the mobile application. The customer enrollment experience is 3 minutes, or less.
IPO Edge: Have you taken steps to “know your customer” so to prevent bad actors from using Coro?
Yes, as mentioned above, we have built Coro on a strong foundation of compliance. Our AML / KYC solution for onboarding new users and monitoring their ongoing transactions for suspicious activity is cutting edge technology. Our AML/KYC technology monitors international compliance watchlists in real time and alerts Coro’s experienced compliance team so that they may take action.
IPO Edge: Have you had interest from potential users ahead of the app launch?
On a pre-launch basis, interest from prospective users has been very positive. During the past month approximately 3,500 interested Coro users have pre-registered on our website (visit: http://www.coro.global/). Commentary from the pre-registered users regarding the opportunity to own and send gold has been enthusiastic. The idea of reliable gold money is connecting with people. As mentioned previously, Coro will be launched on a commercial basis this summer.
IPO Edge: What kinds of regulatory requirements were necessary to launch?
Coro is regulated on three levels. First, as a public company we are regulated by the Securities Exchange Commission. Second, we are registered and regulated as a money services business by FinCEN at the U.S. Treasury. Third, Coro is regulated by state banking and finance regulators as a money transmission company. Regulation at both the Federal and State levels will enhance trust and confidence for Coro users.
IPO Edge: Can users request physical gold be sent to them from their accounts?
Yes, Coro users will have the opportunity to withdraw their gold for home delivery. The functionality for withdrawal and delivery will be implemented this year after our summer launch. All gold within the Coro user accounts belongs to our customers. The gold is fully allocated, insured and held by an independent vaulting custodian.
John Jannarone, Editor-in-Chief