I noticed an interesting trend in the market — gold-backed cryptocurrencies are rapidly gaining popularity. Apparently, when trade wars and geopolitical tensions start around the world, people flock to safe assets. Gold, of course, is in favor, and its digital versions are growing along with it.

I checked the data on the main tokens. XAUT and PAXG are currently trading at around 4.7K per unit — reflecting the value of physical gold in digital form. Over the past few days, trading volumes for these instruments have stayed at 10+ million per day, indicating real demand. Interestingly, just a year ago, when gold surged to 2,880 per ounce, these tokens increased by 10% — the current situation is similar, but at a different price level.

For comparison — Bitcoin during the same period only grew by 3-4%, and Ether actually fell by 17%. Currently, BTC is trading around 78K, showing a recovery, but traditional safe assets still look more attractive to conservative investors. According to analysts, approximately 72% of capital flow is going into gold crypto and similar instruments.

What’s interesting — global demand for physical gold last year reached nearly 5,000 tons worth 460 billion dollars. That’s a huge amount of money. And now, people are looking for ways to access this asset through blockchain — without logistics and with full transparency. Each XAUT or PAXG token is backed by real gold stored in vaults, providing peace of mind.

If trade tensions don’t ease, gold crypto will continue to grow. Experts say that when risk appetite returns, Bitcoin will be able to catch up, but for now, investors clearly prefer stability. An interesting time for portfolio diversification.