Tokenized Gold Crosses $1 Billion in Daily Trading Volume
Gold enters the 24/7 era. Driven by the record rally of the yellow metal, tokens backed by gold have just exceeded 1 billion dollars in daily volume. This milestone establishes tokenized gold as a trading and hedging tool, more agile than traditional ETFs.
In brief
- Tokenized gold exceeds 1 billion$ in daily volume, driven by the record rally of the yellow metal and a liquid 24/7 market
- Since October 1, cumulative volumes have exceeded 10 billion$
- Digital gold establishes itself as a more agile trading and hedging tool than traditional instruments
A new age for digital gold
Gold has never ceased to fascinate investors, but today it enters an unexpected era: that of blockchain. According to a report published by CEX.IO, tokens backed by gold have exceeded one billion dollars in daily volume for the first time, a symbolic record driven by the surge in the yellow metal.
After crossing 2.7 billion in capitalization in September , the cumulative volume of tokenized gold products has exceeded 10 billion dollars, a historic rise since October 1. This level now surpasses the iShares Gold Trust (IAU) from BlackRock, the world’s second largest gold ETF. This shift illustrates a structural transformation: gold, a millennial safe haven, becomes a liquid digital asset, tradable 24/7 on crypto platforms.
At the same time, the price of physical gold jumped more than 10% in October, crossing 4,300 dollars an ounce. Rising trade tensions between the United States and China, combined with the paralysis of the American government and signs of stress on global liquidity, have revived the appetite for safe haven assets.
Tokens more agile than traditional gold
Among these new instruments, a crypto-token backed by physical gold has stood out, representing 37% of total volume this month, compared to 27% last quarter. The number of holders has increased by 12%, outpacing growth rates of rivals like Paxos Gold (PAXG).
But beyond volumes, it is the velocity that intrigues analysts. The volume/market capitalization ratio of tokenized gold reaches 34%, versus 5.6% for the SPDR Gold Shares (GLD) and 1.5% for the IAU. In other words, every dollar invested in tokenized gold circulates seven times faster than in traditional ETFs.
This hyperactivity reflects a new usage, no longer only as a store of value, but as a tactical tool for hedging and trading. In a market open continuously, without closing or borders, investors now use the digital version of this asset to react in real time to macroeconomic shocks.
An ancestral pillar of finance 3.0
Despite a colossal gap between market sizes, 3.3 billion dollars for tokenized gold against 141 billion for GLD, the dynamic is clear: the flow is shifting. Accessibility, speed, and transparency offered by blockchain are transforming how investors interact with the precious metal.
As analyst Illya Otychenko highlights in the report , “tokenized gold is used not only as a store of value but as an active utility asset within the crypto ecosystem.” A phrase that sums up the turning point: gold is no longer locked in vaults, it flows at network speed.
In a context where confidence in fiat currencies is eroding and geopolitics shakes markets, gold regains its throne, but this time, on the blockchain.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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