Investing in gold is becoming trendy, and thanks to Bitcoin technology, there are simple ways to do it.
Binance allows you to buy and sell PAXG, a tokenized version of gold.
PAXG is a stablecoin whose price is pegged to that of one troy ounce of gold.
The gold that backs PAXG is stored in vaults in London.
In times of economic uncertainty and geopolitical tensions, gold once again gains prominence as a safe haven. Throughout history, the precious metal has been a reliable reserve against inflation, devaluation of fiat currencies, and crises in the traditional financial system.
Currently, in the midst of the boom of decentralized technologies, gold is also adapting to new times: it is no longer necessary to buy physical bars or pay for custody. It is possible to acquire tokenized digital gold, backed by physical gold, in a secure and highly accessible way.
One of the main proponents of tokenized gold is PAX Gold (PAXG), issued by the company Paxos. As CriptoNoticias has explained in some publications, each PAXG token represents ownership of one troy ounce of physical gold stored in vaults in London.
As it is based on the Ethereum network, the tokenized gold by Paxos combines the financial strength of gold with the flexibility and liquidity of the cryptocurrency ecosystem. PAXG can not only be purchased as an investment but also stored in wallets compatible with the Ethereum network and used as collateral on multiple DeFi platforms.
In this tutorial, we will show you step by step how to buy PAXG easily on Binance, the largest cryptocurrency exchange in the world. Whether you want to diversify your portfolio, protect yourself against inflation, or simply experiment with assets backed by real goods, this guide will allow you to access tokenized gold safely and efficiently.
STEP 1: CREATE AN ACCOUNT ON BINANCE.
The first step to buying tokenized gold is to register on Binance. To do this, go to the official Binance page and click on 'Register'.
You will need to complete a form with your personal data and follow the identity verification process (KYC), which is mandatory for trading. Once your account is created and verified, you can start using the platform.
STEP 2: FUND THE ACCOUNT WITH CRYPTOCURRENCIES.
With the active account, it's time to deposit funds. Binance offers several funding alternatives, but the most used are bitcoin (BTC) and stablecoins like USDT (Tether). You can send cryptocurrencies from another wallet or exchange to your Binance account by selecting the asset and copying the corresponding deposit address. You can also buy cryptocurrencies within Binance if that option is enabled in your country. Once the funds are credited, you can use them to acquire PAXG.
STEP 3: CONVERT CRYPTOCURRENCIES TO PAXG.
With available balance, go to the 'Wallets' section of Binance and choose 'Spot'. There, find the asset you want to convert (for example, USDT or BTC) and click on 'Convert'.
In the 'spot' section of Binance, choose which cryptocurrency or token you want to exchange for PAXG.
A simple conversion screen will open. In the source field, select the token you have; in the destination field, choose PAXG. Indicate the amount you wish to convert and confirm the operation by clicking 'Convert'.
Then, Binance will show you how your conversion looks based on the current exchange rate. If you agree, click 'Confirm'.
Confirm if you accept the exchange rate offered by Binance.
If you did all that, in a few seconds, the PAXG tokens will appear in your spot wallet.
PAXG tokens are now in the 'Spot' section of Binance.
If you wanted to exchange PAXG for USDT or another token, the process is the same, but selecting PAXG as the currency to convert and USDT (or whichever token) as the currency to receive.
The possibility of acquiring tokenized gold like PAXG represents an alternative for those seeking exposure to this metal through digital means. Thanks to Bitcoin technology and the infrastructure of exchanges like Binance, the purchasing process is accessible and relatively straightforward.
However, you must remember that although PAXG is backed by physical gold, its ownership remains digital and depends on trust in the issuer (that is, in the company Paxos).
As always, it is recommended to conduct your own research and consider additional security measures, such as using self-custody wallets depending on each investor's goals.
