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