I am (naturally) getting questions about the introduction of what appears to be another new Crypto from Karatbars/Karatbank.

KBC (Karatgold Coin) is still very much the gold-backed Crypto of the Karatbars/Karatbank organisation and nothing about that coin, where it is going, what they plan for it with regards to stimulating its value by building a gold reserve to underpin its value etc. has changed.

Fundamentally, gold will be mined, part of that gold will be vaulted by Karatbank and used to give KBC an independent minimum, gold-backed value regardless of what happens to it on the public exchanges. So no change there.

The longer term structure of where the KBars/Kbank organisation is going requires a (for want of a better word) FUEL that binds everything together and makes it work.

If you understand how ETHEREUM works this KCB explanation might be a little easier to follow but please remember that I do not have ALL the facts, actually, I have very little information yet to go on. This is just what I am piecing together based on what I do have and have heard.

There is a Karatbars international "roadshow" kicking off 27th July (gets to London in September) that, I believe will give us the full picture so until I can get a look at that, I have to speculate to a large degree.

The Ethereum network is a platform. It has a currency called ETHER and ETHER is a Crypto. But the ETHEREUM network is multi-functional and does a lot more than simply move ETHER around from place to place. But everything that happens, be that a simple calculation, or the introduction of a new smart contract on the network and so on, has a computational cost. This cost is represented in something called GAS.

Unlike bitcoin that uses a structure of fees to fuel its ecosystem (the transaction fee is removed from the bitcoin sent and this is paid as a reward to the miners that validate the network transactions), ETHER cannot simply be generated from every "action" or "activity" at the same rate because not every action or activity is the same or moves ETHER from one place to another.

With bitcoin, everything that happens on the blockchain is about moving bitcoin from one place to another. So assessing it's worth in computational power is easy.

Ethereum uses GAS as a "FUEL" and the GAS cost is higher or lower depending on the computational power used. Ultimately, this leads to getting some ETHER but the rate at which you get it is dependent on the actions taken.

You send me Ethereum, GAS is generated that enables the transaction. This separates the "COIN" (ETHER) from the charge that moves the coin along (GAS).

GAS isn't tradeable and has no stand alone value except that it is effectively exchanged internally (within the ETHEREUM network) for ETHER itself at a known rate of X GAS = X ETHER. But GAS is still a "Crypto" in the purest "digital currency" sense.

Because Ethereum is a whole ecosystem of its own, it needs this fuel to make it all link together properly. The key word there is LINK.

This is how I see KCB fitting in to our Karatbars/Karatbank ecosystem. Eventually, we will have gold generation through mining and gold refining and the platform to move from one asset to another - FIAT money to GOLD, FIAT money to CRYPTO, GOLD to CRYPTO, GOLD and CRYPTO to FIAT money.

Ultimately part of the building process will be the KARATGOLD exchange and that exchange will use KCB as the LINK to move all assets to other assets.

So, you would exchange GOLD into KCB and the value of the GOLD will dictate the amount of KCB you get. This can then be exchanged into any other asset.

That is largely my speculative guess based on putting the pieces together. It makes perfect sense to me to create a vehicle (the new KCB) as a slave currency to represent the value of one transported into the value of another.

There is some talk of a new app that gives weight to this speculation but I do not yet have details.

That is my read on why KBars/KBank is introducing this second Crypto. It is also becoming apparent that more and more now, the CEO is referring to the "whole" thing as the KARATGOLD organisation.

As to recent newsletters/articles referring to KCB being given away with affiliate packages before the 1st August. This is clearly another opportunity for us members to own some of this new "coin" without having to buy it per say. BUT, of course, this will only interest those among you that want to build a "KARATGOLD" business and want to start earning real commissions from doing so.

I think that, whichever way you look at this, if you are going to be searching for a good part-time or even full-time income from something new now or in the future, this business will rock. Just think about the fact that there is a gold business that is also into Crypto and you have everything you need to make a good secondary income.

I have some ideas on how I can help you to really turn this into income if you want to get in touch. But you must come to me, I am not in the business of selling you on a business unless you are prepared to put some work into it.

Does the new KCB appeal to me? Well, first off, I already invested in the top level business package (Premium Prof) that you can get within Karatbars. This counts as a VIP package and, in addition, gives me a stand alone, passive income on top of everything else I do anyway. 

This is because I get a small percentage each month based on total Karatbars gold sales internationally. Thus I cannot earn any free KCB from a package purchase anyway and I am already on the top commission level you can earn at KBars. The passive aspect isn't a fortune monthly (YET) but then again, if I had not bought this package, what would I get in the bank?

This gives me €300 to €400 per annum now whether I do any work promoting Karatbars or not. The equivalent money that the package cost me getting interest in the bank would earn me €100 per annum at best (more likely €90).

Will I go out and buy KCB come 1st August when they officially launch it as its own ICO? I don't have enough information to say YES or NO to that yet.

Should any of you go and buy any on 1st August? I can't answer that either for the same reason.

Is this mainly designed to raise even more money from another ICO come August? Actually, I think the answer to that is YES and NO. The NO is that I do believe that they need a LINK currency to bind the whole project together and this gives it to them.

Also, they will need something to incentivise the involvement of others to market the entire project. What better way than to be able to offer KCB that can ultimately be converted to KBC as an incentive to people to market and promote the KARATGOLD organisation. 

For example, get gold dealers to sell Karatbars gold over another gold or get a crypto exchange to push KBC or KCB or both to the buying public at large. 

Think of the BINANCE exchange. It uses the Binance coin as an incentive to get people to push the exchange and use its services. Karatgold cannot use KBC because there is no more KBC than that which already exists in the market and they cannot simply create more without forking KBC to allow for some way to "mine" it and create more.

All KBC was completely sold out in the ICO and now you can only buy it on the exchanges - so there will be no more (other than our previously allocated bonuses) and clearly, because of how much went and how quickly it went, there is an opportunity to open another new public ICO for a new coin so that is the YES part of my answer. 

The KCB coin is intended partly for that and frankly, why not...

It takes nothing away from KBC and can only enhance the KBC project as it brings more money into the system to invest and build upon the current infrastructure. Dont forget, the more money that comes in and, ultimately gets re-invested in the gold operation, the faster the value (the real value) of KBC increases. We all want to see a $5 or more value on KBC do we not?

The CEO of the Karatgold organisation is a very smart man. Anything that helps this business to grow has massively positive implications for us all as members. Especially when/if we build it as a personal business.

He knows only too well that Cryptocurrency is coming big time. 

That's my take, remember, only based on the little I know. I have filled the blanks with some personal speculation and I will keep you posted about what actually happens if/when I find out more.