Tokenized gold assets surpass $4.2 billion. Can this upward trend continue?

[Blockchain Movement] Tokenized gold has recently become popular. According to the latest data from Coingecko, the total market capitalization of the entire tokenized gold market has surpassed $4.2 billion, an increase of nearly 147% compared to six months ago, with a remarkably rapid growth rate.

In this rapidly expanding sector, two players basically dominate the market—Tether’s XAUT with a market cap of about $2.24 billion, and Paxos’s PAXG with a market cap of about $1.5 billion. Together, they account for nearly 90% of the share. Both tokens are backed 1:1 by physical gold, effectively bringing gold onto the blockchain.

The spot gold market is also very promising. Recently, the spot gold price increased by 1.1% in a single trading day, currently standing at $4,326.5 per ounce. To put this in perspective, at the beginning of the year, it was only $2,624 per ounce—a nearly 65% increase over the year—gold is indeed in a bull market.

A recent analysis report from Morgan Stanley offers a more aggressive forecast: considering the continued expectation of interest rate cuts and the weakening trend of the dollar index, they expect gold prices to reach $4,800 per ounce by Q4 2026. This suggests that the current price may just be the beginning.