Quick Takeaways
- Tokenized commodities surged to nearly $4 billion amid record gold prices.
- Gold-backed tokens, such as XAUT and PAX, dominate the sector.
- Ethereum leads the way in real-world asset tokenization, despite a modest fee impact.
Tokenized commodities are gaining momentum as precious metals reach new records. On-chain representations of gold and other assets are attracting fresh capital.
The sector is now approaching a major milestone. Blockchain-based commodities are nearing a total market value of $4 billion.
This growth follows sharp rallies in gold and silver prices. Investors are seeking digital exposure to traditional safe havens.
The trend highlights how real-world assets are moving on-chain. It also reflects demand for 24/7, borderless financial instruments.
Precious Metals Drive Onchain Growth
Gold, silver, and platinum reached fresh all-time highs on Friday. Spot gold surged to around $4,530 per ounce, according to market data. Silver briefly touched $74.56 per ounce. Platinum also extended its rally during the same session.
These price moves boosted interest in tokenized alternatives.On-chain metals allow faster access without physical settlement. Tokenized commodities grew 11% in the past month. Their total market value reached roughly $3.93 billion.
The rise mirrors demand seen in traditional markets. Investors increasingly view tokenized metals as a parallel entry point.
Gold Tokens Dominate the Market
Gold-backed tokens lead the tokenized commodities sector. They account for the vast majority of on-chain commodity value. Tether Gold (XAUT) ranks as the largest tokenized commodity. Its market value stands at $1.74 billion.
Paxos Gold (PAXG) follows closely. It holds a valuation of about $1.61 billion. Both tokens are backed by physical gold reserves. They track spot prices while trading on blockchain networks.
Silver plays a smaller role in tokenized markets. Liquidity and adoption remain concentrated in gold products. Despite on-chain trading, pricing still depends on legacy markets. Redemption and custody also rely on traditional infrastructure.
Tokenized Commodities Within the RWA Boom
Tokenized commodities sit within the broader real-world asset sector. RWAs aim to bring traditional assets onto blockchains. This model enables faster settlement and fractional ownership. It also lowers barriers for global participation.
Banks and institutions are paying closer attention. Tokenization promises efficiency gains across financial markets. Standard Chartered projects massive growth for RWAs. The bank expects the sector to reach $2 trillion by 2028.
About $250 billion could flow into less liquid assets. These include private equity, real estate, and commodities. Tokenized metals may benefit early from this shift. They offer familiar value with new digital rails.
Ethereum Leads RWA Tokenization
Ethereum remains the dominant network for tokenized assets. It hosts the majority of real-world asset activity. Data shows Ethereum controls about 65% of tokenized RWAs. That represents roughly $12.7 billion in value.
BNB Chain ranks second with a 10.5% share. Its tokenized RWA value sits near $1.85 billion. Ethereum’s dominance supports its long-term relevance. Tokenization can increase network usage and transaction fees.
However, RWA activity remains a small slice of total on-chain volume. Stablecoins and token trading still drive most usage. Over the past 30 days, Ethereum ranked fourth in fee generation. It produced around $11.41 million in transaction fees.
Tron led the rankings with $29.5 million. BNB Chain and Solana followed close behind.
Outlook for Tokenized Commodities
Tokenized commodities are still a niche market. Yet their growth signals broader structural change. As gold prices continue rising, digital exposure may expand. Institutional and retail investors are watching closely.
Regulatory clarity will shape the next phase. Custody, redemption, and compliance remain key challenges. Still, momentum appears strong. Tokenized metals blend traditional trust with digital efficiency.
If adoption continues, the $4 billion mark may soon fall. Tokenized commodities could become a core RWA category.