The cryptocurrency market has been heating up, and one particular niche that’s been gaining attention is tokenized gold. Just recently, the total market capitalization for tokenized gold has again surpassed $1 billion, currently standing at $1.02 billion.
Over the past 24 hours, trading volume for tokenized gold surpassed $25.5 million, while the market cap for PAX Gold and Tether Gold stood at nearly $523 million and almost $499 million, respectively.
The two tokenized gold assets are neck and neck in a tight race for the top spot. According to CoinGecko, the next closest competitor, Perth Mint Gold Token, has a significantly smaller market cap of $2.46 million.
PAX Gold and Tether Gold have both seen 24-hour market price increases of over $2,000, in line with the price of gold. PAX Gold increased by 2.7% and carries a slight premium, while Tether’s offering has increased by 1.9%.
Tokenized gold is a type of digital asset that is pegged to the price of gold. Utilizing the same distributed ledger technology as Ethereum, tokenized gold assets like PAX Gold and Tether Gold offer investors and traders the ability to easily self-custody and trade on centralized exchanges.
New York-based fintech firm Paxos Trust Company issues PAX Gold, while Tether, the issuer of the dominant USD-pegged stablecoin, USDT, issues Tether Gold.
The milestone of reaching $1 billion in market capitalization for tokenized gold crypto assets comes as the price of gold has jumped to a 13-month high, surpassing $2,025. In contrast, industrial metals are sliding.
Kraken and Binance are the top markets for PAX Gold among major centralized exchanges, while Bitfinex dominates the Tether Gold market.
