Tokenized commodities top $6.1B as tokenized gold (XAUt, PAXG) drives 53% surge
The tokenized commodities market has surged to about $6.1 billion, a 53% rise in under six weeks and roughly $2 billion added since January 1, driven almost entirely by tokenized gold. Tether Gold (XAUt) and Paxos’s PAXG account for more than 95% of the sector: XAUt rose ~51.6% month-on-month to roughly $3.6 billion, while PAXG climbed ~33.2% to about $2.3 billion. Year‑over‑year growth for tokenized commodities is roughly 360%, far outpacing tokenized stocks (~42% YoY) and tokenized funds (~3.6% YoY). The rally coincides with an over-80% rise in spot gold over the past year and softer Bitcoin performance, reinforcing demand for commodity-backed digital hedges. Recent corporate moves include Tether buying a $150m stake in Gold.com and plans to integrate XAUt into the Gold.com platform and explore USDt-funded physical-gold purchases — a development that may increase on-chain gold utility and liquidity. Analysts point to macroeconomic uncertainty, inflation-hedging demand, improved custody and audits, and clearer regulation in some jurisdictions as key drivers. For traders, the trend highlights growing liquidity and institutional interest in gold tokens, suggesting these RWA tokens could serve as diversification or hedging tools; sustained growth will depend on insured custody, regulatory clarity and further institutional adoption.
Bullish
The news is bullish for tokenized gold tokens (XAUt, PAXG). Rapid market-cap growth, heavy concentration in XAUt and PAXG, and corporate moves (Tether’s $150m Gold.com stake and planned XAUt integration) point to rising demand, liquidity and on-chain utility. In the short term this can drive continued price appreciation for these tokens as traders allocate to commodity-backed RWAs amid macro uncertainty and rising spot gold. Increased visibility and flows may also reduce spreads and boost market depth. Over the medium-to-long term sustained bullishness depends on execution: insured custody, audit transparency and regulatory clarity are required to institutionalize flows. If these safeguards progress, institutional adoption and product integrations could cement long-term inflows and higher valuations; if custody or regulatory issues emerge, the rally could reverse sharply. For BTC (mentioned in the articles as a comparison), the effect is neutral to slightly negative in relative terms — some allocation may rotate into gold tokens from risk assets, but the direct price impact on Bitcoin is secondary.