🔹 Gold Just Crushed Every Tokenized Commodity

$5 billion and 99.8 percent market share.

Tokenized gold now dominates the entire onchain commodity market. Silver, oil, and agricultural tokens barely register on the same chart.

🔹 The Market Breakdown

Total tokenized gold value: $5 billion.
All other tokenized commodities combined: under $60 million.
Gold’s share of the tokenized commodity sector: 99.8 percent.

Silver tokenization sits at roughly $28 million. The tokenized iShares Gold Trust holds about $14 million. Every other commodity category together accounts for less than $3 million.

🔹 Why Gold Runs Alone

Gold already moves across borders without friction. The market has relied on paper certificates for decades, not physical bar shipment. That makes gold the natural fit for blockchain mapping.

Tether XAUT and Paxos PAXG simply turn vault ownership into wallet balances. Oil, wheat, copper, and lithium do not work the same way. Physical delivery, quality grading, and storage logistics remain unsolved at scale.

🔹 The Growth Curve

December 2024: tokenized gold market cap below $1.5 billion.
May 2026: $5 billion.

One month in early 2026 alone saw a single month climb of over 35 percent. Monthly onchain transfer volume across gold tokens now exceeds $13 billion. Tokenized gold grew faster in one quarter than most crypto sectors grow in a year.

🔹 Trading Volume Speaks Louder

Q1 2026 spot trading volume for tokenized gold reached $90.7 billion. That number already beats the full year volume of 2025.

Full year 2025 trading hit $178 billion, a 1,550 percent increase from 2024. Q4 2025 turnover topped $126 billion, surpassing the combined activity of the five largest traditional gold ETFs. Only SPDR Gold Shares (GLD) posted higher quarterly volume at $375 billion.

Tokenized gold now ranks as the second largest gold investment product by volume on the planet.

🔹 The Two Giants

XAUT and PAXG together control 89 percent of the tokenized gold market.

Tether XAUT leads with roughly $2.5 billion in market cap, backed by over 375,000 ounces of LBMA-certified gold stored in Swiss vaults. That represents more than 12.7 metric tons of physical metal.

Paxos PAXG holds about $2 billion in market value, regulated under the New York Department of Financial Services. PAXG market share climbed from 36.8 percent to 41.8 percent in early 2026.

Kinesis Gold (KAU) and Matrixdock Gold make up most of the remaining share. The top four control nearly 97 percent of the entire category.

🔹 Who Is Holding

Unique wallet holders grew nearly 200 percent in 2025, adding roughly 115,000 new users. That is 14 times faster than the previous year's growth rate.

Tokenized assets including gold now capture $34 billion in total market value excluding stablecoins, climbing from under $3 billion in mid-2024. US Treasuries lead the broader RWA market at $15.2 billion, but gold dominates the commodity side by an overwhelming margin.

🔹 Regulation Unlocked the Door

The US GENIUS Act passed in July 2025, giving stablecoins and tokenized assets a clear legal foundation. The EU's MiCA framework classifies tokenized gold as an Asset Referenced Token, requiring 100 percent physical backing and quarterly reserve audits. Final authorization deadline arrives July 1, 2026.

Singapore’s Project Guardian advances institutional tokenization with over 40 financial institutions participating. OCBC Bank launched GOLDX, a tokenized gold fund on Ethereum and Solana targeting institutional clients.

🔹 The DeFi Gap

Only 5 percent of tokenized gold supply actually enters DeFi protocols. Most holders simply keep the tokens in wallets without using them as collateral or yield-generating assets.

That 5 percent is the next frontier. When tokenized gold integrates fully into lending and trading protocols, the use case expands from holding to programmable money.

🔹 The Three Waves

Grayscale defines the tokenization timeline.

Wave one: stablecoins. Completed.

Wave two: gold and treasuries. Currently in rapid expansion.

Wave three: equities and private credit. Expected 2026 to 2027 as regulatory frameworks mature.

Gold anchors the second wave.

🔹 The Forecast

Projections place the global gold tokenization market at $38.9 billion by 2031, growing at a 54.66 percent compound annual rate. The broader tokenized RWA market could reach $18 trillion by 2031.

This is not a trend. This is financial infrastructure being rebuilt in real time.

$5 billion today. $38 billion by 2031. Gold is leading the biggest asset migration in financial history. Watch the wallets stack.

#GateSquare #TokenizedGold #RWAs #XAUT #PAXG