Tether Gold

Gold

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 <p class="paragraph">Gold has made consecutive new all-time highs year-to-date, drawing investors’ attention and fueling what was already a significantly increased demand. Finbold selected two tokenized gold cryptocurrencies to invest in and gain exposure to the leading commodity</p>
 <p class="paragraph">As of writing, the <em>TradingView</em> index for gold marks an all-time high of $2,431 per ounce. Furthermore, gold contracts closed the week – on April 12, Friday – at a valuation of $2,343 per ounce. Looking ahead, <em>Bloomberg Intelligence</em>‘s commodity expert forecasts gold could reach $3,000 per ounce.</p>
 <figure class="wp-block-image size-large"><img decoding="async" width="1024" height="662" src="https://cdn.thebittimes.com/images/2024/04/14/37da8af07256e2de1d0d0aab4e90dd63.webp" alt class="wp-image-168728" srcset="https://cdn.thebittimes.com/images/2024/04/14/37da8af07256e2de1d0d0aab4e90dd63.webp 1024w, https://cdn.thebittimes.com/images/2024/04/14/37da8af07256e2de1d0d0aab4e90dd63.webp 300w, https://cdn.thebittimes.com/images/2024/04/14/37da8af07256e2de1d0d0aab4e90dd63.webp 768w, https://cdn.thebittimes.com/images/2024/04/14/37da8af07256e2de1d0d0aab4e90dd63.webp 1536w, https://cdn.thebittimes.com/images/2024/04/14/37da8af07256e2de1d0d0aab4e90dd63.webp 1875w" sizes="(max-width: 1024px) 100vw, 1024px">
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   Gold price index. Source: <em>TradingView</em>
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 <p class="paragraph">However, investing in gold can sometimes be expensive and limiting, according to different geographic locations, or investment budgets.</p>
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   <svg width="32" height="32" viewbox="0 0 32 32" fill="none" xmlns="//www.w3.org/2000/svg"><path d="M4 10.6665V25.3332C4 28.2678 6.392 29.3332 8 29.3332H28V26.6665H8.016C7.4 26.6505 6.66667 26.4078 6.66667 25.3332C6.66667 24.2585 7.4 24.0158 8.016 23.9998H28V5.33317C28 3.8625 26.804 2.6665 25.3333 2.6665H8C6.392 2.6665 4 3.73184 4 6.6665V10.6665ZM8 5.33317H25.3333V21.3332H6.66667V6.6665C6.66667 5.59184 7.4 5.34917 8 5.33317Z" fill="#EF4444"> 
    </path> <path d="M15.996 18.6668L20.4626 14.2815C20.738 14.0166 20.9571 13.6989 21.1068 13.3473C21.2564 12.9957 21.3336 12.6176 21.3336 12.2355C21.3336 11.8534 21.2564 11.4752 21.1068 11.1236C20.9571 10.7721 20.738 10.4543 20.4626 10.1895C19.9074 9.64148 19.1587 9.33422 18.3786 9.33422C17.5985 9.33422 16.8498 9.64148 16.2946 10.1895L15.996 10.4801L15.6973 10.1881C15.1423 9.64023 14.3938 9.33301 13.614 9.33301C12.8341 9.33301 12.0856 9.64023 11.5306 10.1881C11.2552 10.453 11.0361 10.7707 10.8865 11.1223C10.7368 11.4739 10.6597 11.852 10.6597 12.2341C10.6597 12.6162 10.7368 12.9944 10.8865 13.346C11.0361 13.6975 11.2552 14.0153 11.5306 14.2801L15.996 18.6668Z" fill="#EF4444"> 
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 <h2 class="wp-block-heading" id="h-gold-investment-alternatives">Gold investment alternatives</h2>
 <p class="paragraph">For example, young Chinese investors have started buying physical gold beans to gain more accessible exposure to the precious metal. This is because these gold tokens have a lower minimum entry value. Additionally, they are easier to store and move than the usual gold bars and other physical variants of the world’s leading asset.</p>
 <p class="paragraph">On the other hand, access to gold derivatives such as exchange-traded funds (ETFs) or diverse contracts face a similar issue of meaningful entry barriers for the average population. As a result, the price of gold in different markets may vary from underlying indexes like <em>TradingView</em>‘s.</p>
 <p class="paragraph">Notably, some <a rel="noopener noreferrer nofollow" title="crypto" href="https://thebittimes.com/tag/crypto.html">crypto</a>currency projects address this <a rel="noopener noreferrer nofollow" title="demand" href="https://thebittimes.com/tag/demand.html">demand</a>, offering more accessible versions of synthetic gold tokens. Hence, allowing a more diverse exposure to the dominating commodity, besides easier storage, portability, and arbitrage opportunities.</p>
 <h2 class="wp-block-heading" id="h-2-gold-tokens-that-anyone-can-buy">2 gold tokens that anyone can buy</h2>
 <p class="paragraph">In this context, Finbold selected two of the most popular <a rel="noopener noreferrer nofollow" title="gold-backed" href="https://thebittimes.com/tag/gold-backed.html">gold-backed</a> <a rel="noopener noreferrer nofollow" title="cryptocurrencies" href="https://thebittimes.com/tag/cryptocurrencies.html">cryptocurrencies</a> or gold tokens. These assets are a synthetic version of the commodity, with mechanisms built to keep a peg to gold’s price.</p>
 <h3 class="wp-block-heading" id="h-tether-gold-xaut">Tether Gold (XAUt)</h3>
 <p class="paragraph">First, Tether has its own gold token under the ticker XAUt, using gold’s nomination as a supranational currency. The company is the leading stablecoin issuer in the cryptocurrency industry, controlling USDT, with over $105 billion market cap.</p>
 <p class="paragraph">In particular, Tether’s tokenized gold trades slightly above <em>TradingView</em>‘s index, at $2,345 per ounce. XAUt is a $577.75 million market cap cryptocurrency, indicating a low-cap project according to the industry parameters.</p>
 <figure class="wp-block-image size-full"><img decoding="async" width="947" height="772" src="https://cdn.thebittimes.com/images/2024/04/14/5583923e24d23440752db600f12911af.webp" alt class="wp-image-168729" srcset="https://cdn.thebittimes.com/images/2024/04/14/5583923e24d23440752db600f12911af.webp 947w, https://cdn.thebittimes.com/images/2024/04/14/5583923e24d23440752db600f12911af.webp 300w, https://cdn.thebittimes.com/images/2024/04/14/5583923e24d23440752db600f12911af.webp 768w" sizes="(max-width: 947px) 100vw, 947px">
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   Tether Gold (XAUt) 1-month chart. Source: Finbold
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 <h3 class="wp-block-heading" id="pax-gold-paxg">PAX Gold (PAXG)</h3>
 <p class="paragraph">Pax Gold (PAXG) is a gold-backed cryptocurrency issued by Paxos, a regulated blockchain infrastructure. The company is mostly known for serving as Binance‘s dollar-stablecoin (BUSD) controller, despite having its own synthetic dollar, the USDP.</p>
 <p class="paragraph">Interestingly, PAXG trades with a nearly 2% premium against the index, priced at $2,385 with ongoing volatility. Paxos’s gold token has a $435 million capitalization, ranked in the 159th position according to the <em>CoinMarketCap</em> index.</p>
 <figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="947" height="772" src="https://cdn.thebittimes.com/images/2024/04/14/340dbdef8aa32927d2e172d6caaf1045.webp" alt class="wp-image-168730" srcset="https://cdn.thebittimes.com/images/2024/04/14/340dbdef8aa32927d2e172d6caaf1045.webp 947w, https://cdn.thebittimes.com/images/2024/04/14/340dbdef8aa32927d2e172d6caaf1045.webp 300w, https://cdn.thebittimes.com/images/2024/04/14/340dbdef8aa32927d2e172d6caaf1045.webp 768w" sizes="(max-width: 947px) 100vw, 947px">
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   Pax Gold (PAXG) 1-month price chart. Source: Finbold
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 <p class="paragraph">The HSBC also has its synthetic gold asset, although only available for the bank’s customers.</p>
 <p class="paragraph">In conclusion, Tether and Paxos tokenized gold cryptocurrencies are the most solid tokens to accessibly invest in and gain exposure to the precious metal through blockchain infrastructure in a permissionless manner.</p>
 <p class="paragraph">Nevertheless, the tokenized versions of the commodity have significant risks to consider and are prone to these entities’ honesty and health. Investors must do their due diligence and understand these risks before making financial decisions.</p>
 <p class="paragraph"><strong><em>Disclaimer:</em></strong><em>&nbsp;The content on this site should not be considered <a rel="noopener noreferrer nofollow" title="invest" href="https://thebittimes.com/tag/invest.html">invest</a>ment advice. Investing is speculative. When <a rel="noopener noreferrer nofollow" title="invest" href="https://thebittimes.com/tag/invest.html">invest</a>ing, your capital is at risk.</em></p>
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/2-gold-backed-cryptocurrencies-to-invest-in-as-demand-skyrockets-tbt85294.html">https://thebittimes.com/2-gold-backed-cryptocurrencies-to-invest-in-as-demand-skyrockets-tbt85294.html</a></p>

2 gold-backed cryptocurrencies to invest in as demand skyrockets

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