Deep Dive
1. RWA Sector Validation (21 August 2025)
Overview:
CertiK’s mid-2025 RWA report identifies PAXG among top protocols like BlackRock’s BUIDL and Ondo Finance, citing its compliant legal structures and institutional-grade security. The RWA market grew 5x since 2022 to $26B, driven by transparent reserve proofs and regulatory alignment.
What this means:
This is bullish for PAXG as it reinforces its role in bridging traditional finance with crypto. Institutional adoption of RWAs could drive demand for regulated, gold-backed tokens. (Phemex)
2. XAUT Market Cap Surge (11 August 2025)
Overview:
Tether minted 129,047 XAUT tokens ($436.9M) on 8 August, increasing tokenized gold’s total market cap by 20%. XAUT’s holder count grew 173% YTD vs. PAXG’s 29%, though PAXG retains a 7x larger user base.
What this means:
This is bearish for PAXG’s dominance but neutral for the sector. XAUT’s growth reflects intensified competition, though PAXG’s established liquidity and regulatory compliance provide stability. (CEX.io)
3. Tariff-Driven Gold Rally (9 August 2025)
Overview:
PAXG rose 1.2% alongside gold futures hitting $3,534/oz after U.S. tariffs targeted imported gold bars. Prices retreated when the White House clarified exemptions, erasing speculative premiums.
What this means:
Neutral short-term impact. Macro uncertainty keeps PAXG relevant as a hedge, but policy reversals limit sustained rallies. Traders should monitor gold’s correlation with geopolitical risks. (Binance)
Conclusion
PAXG remains a cornerstone of tokenized gold, bolstered by institutional trust in RWAs, but faces pressure from XAUT’s aggressive expansion and macro policy shifts. Will regulatory moats and deeper DeFi integrations help PAXG reclaim its lead?