How Does XAUt Compare to Its Top Competitors in 2025?

The article compares XAUt to its top competitors in the growing 2025 gold-backed token market, highlighting XAUt's dominance with a 40% market share. It explores key players like Paxos Gold, holding 30% of the market, and how XAUt excels through superior liquidity, competitive fees, and strategic expansion. Readers will gain insights into market dynamics, token performance, and the benefits of investing in digital gold. This piece is valuable for investors and institutions interested in tokenized assets, offering a comprehensive overview of the sector's evolution.

XAUt maintains lead with 40% market share in gold-backed tokens

In 2025, the gold-backed token market witnessed significant growth, with XAUt maintaining its dominant position. The token's market share reached an impressive 40%, solidifying its leadership in the sector. This achievement is particularly noteworthy given the overall expansion of the gold-backed token market, which surpassed $2.5 billion in total capitalization.

XAUt's success can be attributed to several factors, including its rapid growth and strategic expansion. In August 2025, the demand for XAUt doubled, reflecting increasing investor confidence and market adoption. Furthermore, XAUt's expansion across multiple blockchains through the XAUt0 initiative enhanced its accessibility and utility for a wider range of users.

To illustrate XAUt's market position compared to other major gold-backed tokens:

Token Market Share Total Supply (troy ounces)
XAUt 40% 522,089.3
Other 60% ~783,133.95

This data demonstrates XAUt's significant market presence, controlling nearly half of the tokenized gold supply. The token's backing by 7.66 tons of physical gold further underscores its substantial role in bridging traditional and digital asset markets.

As the broader Real-World Asset (RWA) tokenization trend continues, with the market reaching $21.6 billion, XAUt's leading position in the gold-backed token segment positions it favorably for continued growth and influence in the evolving digital asset landscape.

Paxos Gold emerges as main competitor with 30% market share

In the rapidly evolving tokenized gold market of 2025, Paxos Gold (PAXG) has emerged as a formidable competitor, securing a substantial 30% market share. This significant growth has positioned PAXG as a major player in the industry, surpassing its rival Tether's XAUT. The market for tokenized gold has experienced remarkable expansion, with the combined market capitalization exceeding $2.5 billion. To illustrate the current market dynamics:

Token Market Share Market Capitalization
PAXG 30% $983 million
XAUT - $2.1 billion

PAXG's success can be attributed to several factors, including its integration into DeFi protocols and its reputation as high-quality collateral. For instance, PAXG has been incorporated into platforms like MakerDAO and Compound, enhancing its utility and market depth. During periods of market volatility, such as in 2025, PAXG volumes reached record highs as investors sought safe-haven assets. This trend demonstrates the growing confidence in tokenized gold as a reliable store of value in the digital asset ecosystem. The increasing adoption of PAXG by institutional investors further solidifies its position as a leading competitor in the tokenized gold market.

XAUt's superior liquidity and lower fees drive 15% YoY growth

XAUt has demonstrated remarkable growth in 2025, with its market capitalization surpassing $800 million and its price reaching $4,242.2 in October. This impressive performance can be attributed to XAUt's superior liquidity and competitive fee structure. The token's deep liquidity across major exchanges has made it a preferred choice for traders and investors seeking exposure to gold-backed digital assets. XAUt's integration with Tether's ecosystem has further enhanced its liquidity, setting it apart from competitors. A comparison of trading fees and liquidity metrics illustrates XAUt's advantages:

Metric XAUt Competitor
Market Cap $2.1 billion $1.8 billion
Liquidity Depth Deep Moderate
Issuer Buy/Redeem Fee 25 bps 30 bps
Exchange Trading Fee 0.1% - 0.2% 0.1% - 0.3%

These factors have contributed to XAUt's 15% year-over-year growth, outpacing the broader gold-backed token market. As institutional adoption of digital gold continues to rise, XAUt's superior liquidity and competitive fee structure position it for sustained growth in the coming years.

FAQ

What is the XAUt coin?

XAUt is a blockchain token representing physical gold, combining gold's value preservation with crypto's accessibility. Each token is backed by one troy ounce of gold stored in secure vaults.

Is XAUt the same as gold?

No, XAUt is not the same as physical gold. It's a digital asset backed by gold, representing one troy ounce of gold on the blockchain.

How safe is XAUt?

XAUt is highly secure, backed by strict regulations, smart contract audits, and physical gold verification. It combines gold's stability with digital asset security, ensuring transparency and protection for holders.

How much is XAUt worth today?

As of October 22, 2025, XAUt is worth $4,083.00, showing a 4.26% decrease in the last 24 hours.

* The information is not intended to be and does not constitute financial advice or any other recommendation of any sort offered or endorsed by Gate.