Digital gold drives the tokenized commodities market to over $6 billion

The blockchain has enabled all kinds of digital marvels. Bitcoin and its crypto sisters, NFTs, stablecoins… Then came tokenized assets. Today, they are booming like never before. Physical gold is massively migrating on-chain. While bitcoin bleeds, tokenized gold is exploding. The crypto market is watching this with wide eyes. A new gold rush is being born. And it is happening on the blockchain. Digital gold changes the game.

Tokenized gold explodes to $6 billion: the gold rush 2.0 is launched

The tokenized commodities market has just crossed 6.126 billion dollars. In less than six weeks, it has gained 53%. Since early 2026, it has quadrupled. And almost all comes from tokenized gold. Tether Gold (XAUT) weighs 3.57 billion $, Pax Gold (PAXG) 2.31 billion $. Together, they control over 95% of the sector. Ethereum concentrates 97% of the total volume.

While bitcoin has lost over 50% since October 2025 and the rest of crypto bleeds, spot gold flirts with $5,114 an ounce. Investors are fleeing crypto volatility for tokenized gold. Stability + 24/7 liquidity + fractional ownership: the perfect recipe. Tokenized gold becomes the star RWA while the crypto market is depressed. It’s the new gold rush. And it is happening on the blockchain. 

Paxos recorded record inflows in January. Tether is multiplying partnerships. Investors seek safety. The sector attracts more and more. Digital gold changes the game.

Tether and Paxos take the lion’s share: the digital gold duopoly

Tether and Paxos dominate at 95%. XAUT and PAXG represent almost the entire market. Paxos recorded record inflows in January. Tether just invested $150 million in Gold.com to push XAUT even further. 

Ethereum is the parent company: 97% of the volume. Arbitrum, BNB Chain, and others are minor players. This extreme domination makes the sector very concentrated. Tokenized gold explodes. But it explodes in very few hands.

The Tether-Paxos duopoly has become the uncontested master of this new gold fever. And the crypto market watches this with a mix of envy and worry. The crypto industry wonders: who really controls this new digital treasure? 

Tokenized gold is appealing. But it also worries. Crypto investors are asking questions. The concentration is extreme. The risk is real. The sector is growing fast. Too fast for some.

Do you really own gold… or just a pretty token? The looming risks

Behind the celebration, a troubling question arises. When you buy XAUT or PAXG, do you really own physical gold? Or just a pretty token? Adrian Ash, research head at BullionVault, says it straight:

We don’t really know what we own when we buy a digital token “backed” by a physical asset. If you had to assert your property right in a dispute, a court might decide that, in reality, you only own the token.

Tokenized gold is appealing. Yet, trust remains fragile. Paxos and Tether swear their tokens are 100% backed and redeemable. But past bankruptcy stories remind us that custody risk is real. Tokenized gold is booming. But it also worries. 

Crypto investors must think about it. The digital gold rush is beautiful. But it hides shadows. The tokenized market grows. And the questions grow with it.

The key figures and highlights of tokenized gold

• Current market capitalization: 6.126 billion dollars;
• Tether Gold (XAUT): 3.57 billion dollars;
• Pax Gold (PAXG): 2.31 billion dollars;
• Share held by Tether + Paxos: over 95%;
• Ethereum represents 97% of total volume.

These 6 billion dollars are just the beginning of a long adventure. There will certainly be a massive influx if we consider the forecasts of some experts: 11 trillion dollars in 2030. Tokenized gold is only taking its first steps.