PAXG

Pax Gold (PAXG) is a tokenized gold asset issued on blockchain infrastructure, designed to represent ownership of physical gold held in custody. Each token is backed by a specific amount of allocated gold, which links the digital unit to a traditional commodity rather than to a native crypto network. This structure makes PAXG part of the broader tokenization trend, where real-world assets are represented as transferable on-chain instruments.

Technically, PAXG functions as an ERC-20 token, so it can move through standard Ethereum wallets, exchanges, and smart contract integrations. The token model allows fractional exposure to gold, with on-chain transfers that can be settled faster than conventional commodity settlement systems. Because the asset is built on Ethereum, it can also interact with DeFi applications that support tokenized assets, although its primary design is still centered on gold ownership and custody verification.

Use cases include portfolio diversification, treasury management, and digital settlement for users who want blockchain portability with commodity backing. In the ecosystem, Pax Gold sits between traditional finance and crypto markets: it is not a PoW or PoS network, but a tokenized representation of a physical reserve asset. That positioning makes it relevant for investors, institutions, and platforms that need a blockchain-native way to hold or transfer gold exposure.