BlockNews
FOLLOW ON X
  • CRYPTO
  • FINANCE
  • POLITICS
  • MEMECOINS
  • NFT
  • TECHNOLOGY
  • OPINION
No Result
View All Result
BlockNews
  • CRYPTO
  • FINANCE
  • POLITICS
  • MEMECOINS
  • NFT
  • TECHNOLOGY
  • OPINION
No Result
View All Result
BlockNews
Home CRYPTO

Gold-Backed Cryptocurrency Surpasses $1 Billion Market Cap as Banking Crisis Fears Loom

by BlockNews Team
April 10, 2023
in CRYPTO, FINANCE, MEDIA, SOCIAL
Reading Time: 2 mins read
A A
2
SHARES
40
VIEWS
Share on XShare in TelegramShare on Reddit
  • Tokenized gold has become a popular investment option due to its ability to provide the benefits of digital currencies while maintaining the value of physical gold
  • PAX Gold and Tether Gold are leading the tokenized gold market, with Binance and Kraken dominating PAX Gold and Bitfinex dominating Tether Gold on major centralized exchanges
  • With market capitalization recently surpassing the $1 billion milestone, investors are increasingly turning to tokenized gold as a safe haven asset in times of economic uncertainty, with concerns over a potential Western banking crisis facilitating the adoption

In times of economic crisis, many investors are searching for a haven to protect their assets. For centuries, gold has been one of the most commonly recognized vehicles for wealth preservation in such conditions. However, with the rise of tokenized gold, investors can now get the benefits of digital currencies while still investing in this precious metal.

Tokenized gold recently achieved a significant milestone with a market capitalization of over $1 billion and is now becoming a popular option for investors. The dominant players in this market are Tether Gold and PAX Gold, tokens that reflect the price of gold. These tokens allow investors to hold and trade gold digitally without worrying about central banks or physical storage.

Paxos Trust Company, a New York-based fintech firm, issues PAX Gold, while Tether, the cryptocurrency company behind the USDT stablecoin, issues Tether Gold. The two companies are facing off in a two-horse race for the most significant market share in the tokenized gold industry.

Binance and Kraken are currently the biggest markets for PAX Gold, while Bitfinex dominates Tether Gold. One interesting fact is that decentralized exchange Uniswap presently has lower liquidity than centralized exchanges for tokenized gold, though this may change in the future.

Possibilities if the Dollar Continues to Lose Value

The market capitalization reaching $1 billion for tokenized gold comes as concerns over a potential Western banking crisis increase. Investors are, therefore, seeking safe-haven commodities, with gold continuing to be a top choice. Crypto whales are also turning to tokenized gold to protect their cryptocurrency exposure rather than storing physical gold bars. This creates a more convenient platform for trading gold as digital currencies.

Remember that hitting the $1 billion market capitalization milestone wasn’t a first-time achievement for tokenized gold. It reached this level in 2022, only to dip in the months ahead and then back up again recently.

As traditional financial institutions face increasing instability and uncertainty, more people are looking toward digital assets for a haven. Although bitcoin has been the most famous cryptocurrency with the nickname “digital gold,” tokenized gold offers a more transparent and direct connection to the physical commodity. With market capitalization for gold tokens continuing to rise, investors increasingly turn to them to protect their assets in an uncertain financial climate.

Tags: cryptocryptocurrencygoldGold Backed CryptoInvestors
Tweet1ShareShare
Previous Post

Hong Kong Securities Regulator Set to Create High Compliance Standards for Crypto Firms in the City

Next Post

Microstrategy Buys 1,045 More BTC Bringing Its Total Holdings To 140,000 Bitcoins

DON'T MISS THESE! HOT OFF THE PRESS

Pepe Coin’s Wild Rebound: Bull Trap or Breakout Brewing?
CRYPTO

Pepe Coin’s Wild Rebound: Bull Trap or Breakout Brewing?

July 1, 2025
Anime 2.0 Revealed: Studio Azuki and the New Wave of Anime Storytelling
CRYPTO

Anime 2.0 Revealed: Studio Azuki and the New Wave of Anime Storytelling

July 1, 2025
Pi Coin in July 2025: Rebound Brewing or Another Breakdown?
CRYPTO

Pi Coin in July 2025: Rebound Brewing or Another Breakdown?

July 1, 2025
VeChain Struggles to Regain Steam After December Peak
CRYPTO

VeChain Struggles to Regain Steam After December Peak

July 1, 2025
Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party
CRYPTO

Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party

July 1, 2025
Toncoin and Telegram: The Sleeping Giant of 2025?
BITCOIN

Toncoin and Telegram: The Sleeping Giant of 2025?

July 1, 2025
Load More

Related News

Pepe Coin’s Wild Rebound: Bull Trap or Breakout Brewing?

Pepe Coin’s Wild Rebound: Bull Trap or Breakout Brewing?

July 1, 2025
Anime 2.0 Revealed: Studio Azuki and the New Wave of Anime Storytelling

Anime 2.0 Revealed: Studio Azuki and the New Wave of Anime Storytelling

July 1, 2025
Pi Coin in July 2025: Rebound Brewing or Another Breakdown?

Pi Coin in July 2025: Rebound Brewing or Another Breakdown?

July 1, 2025
VeChain Struggles to Regain Steam After December Peak

VeChain Struggles to Regain Steam After December Peak

July 1, 2025
Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party

Shiba Inu’s Golden Cross Sparks $110M Whale Surge as Pippen Joins the Party

July 1, 2025
Twitter Telegram Threads

BLOCKNEWS.COM

BlockNews

BlockNews.com is your premier source for real-time cryptocurrency, blockchain, and financial market news.

Our mission is to deliver accurate, timely, and insightful information to help both seasoned investors and newcomers navigate the evolving digital economy.

With in-depth analysis, exclusive insights, and up-to-date news, BlockNews.com keeps you informed on the latest trends in crypto, DeFi, NFTs, tech, and beyond.

Stay ahead of the herd with BlockNews.com

RESOURCES

  • About
  • Contact Us
  • Terms and Conditions
  • Privacy Policy

POPULAR TOPICS

$ADA $XRP AI Avalanche Binance Bitcoin Bitcoin ETF blackrock Blockchain BTC Business Cardano Chainlink China Coinbase Coinglass crypto cryptocurrency Crypto Exchange Crypto Regulation DeFi Dogecoin Donald Trump Elon Musk ETF eth ethereum Federal Reserve FTX grayscale Memecoin metaverse Microstrategy NFT NFTs PEPE ripple sec Shiba Inu Solana Stablecoin Technology US Web3 xrp

GET QUICKER UPDATES ON X

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.

No Result
View All Result
  • HOME
  • CRYPTO
  • MEMECOINS
  • TECHNOLOGY
  • POLITICS
  • FINANCE
  • NFT
  • DEFI
  • GUIDES

© 2022-2025 BlockNews.com - Crypto and NFT news website by Aiur Labs.