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Uranium.io Launches Live Pricing Oracle That Could Transform Uranium Investing

When it comes to investing in uranium, the little guy is usually left out. After all, you need a lot of cash to purchase uranium, if you can even access it. As for pricing, the market is opaque and limited to over-the-counter transactions, which means getting a reference price can be difficult.

That’s too bad, given that demand for uranium is taking off thanks to demand for artificial intelligence and countries' net-zero initiatives. Nuclear power is a big part of meeting those needs, and nuclear power needs uranium, thus the interest in this natural resource.

To level the playing field and bring uranium investing to the masses, uranium.io recently launched the first platform that enables everyday investors to buy, own and trade physical uranium, specifically uranium ore concentrate (U3O8). Uranium.io does this by tokenizing a lot of Uranium ore concentrate (U3O8) that is stored in a regulated storage facility, operated by Cameco, one of the three globally recognized uranium conversion and storage providers. Investors purchase fractions of uranium as xU3O8, with beneficial ownership administered in the form of a smart contract ledger.

Bringing Pricing Transparency To The Masses

Now, uranium.io is focused on transparency, launching what the company says is the first near-real-time pricing oracle for uranium. Uranium.io’s proprietary price feed aggregates market data from multiple market sources and uses statistical learning algorithms to deliver near real-time spot uranium pricing estimates that reflect market trends. The system updates every 60 seconds and takes a holistic approach to price calculation by ingesting market data from a wide range of assets that directly or indirectly reflect changes in the uranium spot price.

“Price discovery for uranium isn't just happening in the uranium spot markets but across a wide array of economically related assets,” says Arthur Breitman, co-founder of Tezos, which powers Uranium.io. “The oracle starts a virtuous circle by injecting this information back into the uranium market, which in turn can improve its liquidity and foster better price discovery in the spot market.” The idea is to create a benchmark that the industry can depend on.

Why Transparency Matters

There are a lot of reasons why pricing transparency is important in the uranium market and why this pricing oracle is a big deal.

Since uranium pricing is opaque, it keeps many investors on the sidelines and out of the market, which hurts liquidity. Without liquidity, the market can’t take off. Plus, a benchmark is necessary for futures, options, perpetual contracts and other structured instruments. The live feed provides this missing foundation, enabling the creation of sophisticated financial products for risk management and speculation, says the team behind uranium.io. The live uranium spot price feed can also enable uranium-related contracts to serve as credible collateral in lending and borrowing arrangements and enable the market to establish a consensus price.

The way the uranium.io team sees it, creating a way to buy, hold and trade units of uranium and having access to transparent pricing will enable the market to truly lift off. The goal is for uranium.io to be the enabler to make this new asset class a reality for the everyday investor. To learn more about how this is revolutionizing uranium trading, click here.