According to CoinGecko, PAXG climbed to $4,339.44 at the time of publication, surpassing gold’s spot peak of $4,310. On Binance, its price briefly spiked to $4,790, while daily trading volume exceeded $1.02 B.
Interest in PAXG intensified as gold crossed the $4,300 mark for the first time. Investors shifted from Bitcoin, which dropped toward $105,000, into tokens backed by commodity assets. Analysts link the move to traders seeking to lock in profits and temporarily reallocate capital to more stable instruments amid geopolitical and economic uncertainty.
Unlike traditional gold markets, PAXG is not limited by physical delivery constraints, allowing faster and more flexible trading during periods of elevated demand. This feature has contributed to the growing premium over gold’s spot price.
Despite PAXG’s surge, the largest gold-backed token by market capitalization remains Tether Gold (XAUT), currently trading around $4,315.40. However, PAXG’s recent performance and record volumes have positioned it as a serious competitor.
The total value locked in gold-backed tokens has reached $3.39 B. While the segment remains relatively small, it continues to grow steadily. Investor activity in this area underscores the strengthening interest in asset-backed tokens. Tokenization is becoming an increasingly vital part of the digital economy.
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