1. Key characteristics
PAXG is a stablecoin backed by physical gold (1 token = 1 troy ounce). In 2025, the project presented key updates:
- Cross-chain availability: Support for 8 blockchains (including Ethereum, Solana, and TON)
- NFT certificates: Each token is tied to a specific bar with photo/serial number
- Automatic staking: 0.75% per year in gold equivalent
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2. Technical infrastructure
2.1. Storing gold:
- 7 vaults in Switzerland, Singapore, and Canada
- Weekly audits by Deloitte
- Lloyd's insurance for $5 billion
2.2. New features:
- Gold IBAN: Banking details for PAXG accounts
- Physical buyback: Delivery of bars in 35 countries
- Fractional NFTs: Ownership of 0.001 ounces with a digital certificate
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3. Market indicators (Q3 2025)
| Parameter | Value | Change over year |
|-------------------|---------------|------------------|
| Market cap | $18.9 billion | +145% |
| Daily volume | $620 million | +230% |
| Number of bars | 1,024,500 | +89% |
| Average spread | 0.08% | -40% |
TOP-3 exchanges by volume:
1. Binance (38%)
2. Coinbase Institutional (22%)
3. Kraken (15%)
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4. Usage in DeFi and TradFi
4.1. DeFi integrations:
- Aave: Gold loans at 1.5% per year
- Uniswap: Liquidity pools with APY up to 5%
- MakerDAO: PAXG as collateral (up to 60% LTV)
4.2. Institutional application:
- JPMorgan: Settlements on commodity contracts
- BlackRock: Gold ETF based on PAXG
- Swiss National Bank: 7% of reserves in PAXG
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5. Comparison with analogs
| Criterion | PAXG | Tether Gold | Physical gold |
|------------------|---------------|---------------|--------------------|
| Liquidity | 24/7 | 24/7 | Market hours |
| Fees | 0.02% | 0.05% | 1-3% |
| Audit | Weekly | Quarterly | No |
| Delivery | 35 countries | 12 countries | Globally |
Unique advantages of PAXG:
- Ability to order personalized bars (engraving)
- Automatic dividends in gold
- Integration with CBDC in 7 countries
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6. Risks and solutions 2025
6.1. Key risks:
- Regulatory changes (especially in the USA)
- Physical gold shortage
- Technical vulnerabilities of bridges
6.2. Protective measures:
- Quantum marking of bars
- Duplication of reserves in 3 jurisdictions
- Insurance fund $1.2 billion
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7. Forecast and prospects
7.1. Market expectations:
- Gold price: $2,400-$2,800/ounce by 2026
- PAXG market cap: $25-30 billion
- New features:
- Gold bonds
- DeFi insurance of reserves
7.2. Roadmap:
- Q4 2025: Direct purchases via Visa/Mastercard
- 2026: Integration with FedNow
- 2027: Gold smart contracts
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8. Practical application
8.1. For individuals:
- Protection against inflation (historical return of 7-9% per year)
- Cross-border transfers without taxes (in 15 jurisdictions)
- Collateral for crypto loans
8.2. For businesses:
- Hedging currency risks
- Securing commercial contracts
- Gold payroll systems
8.3. For states:
- Reserve asset
- Settlements on commodity contracts
- Digital gold bonds
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"PAXG is a bridge between a millennia of gold history and the digital economy of the future" — Charles Cascarilla
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Where to buy/exchange PAXG?
- Crypto exchanges: Binance, Kraken, OKX
- Traditional brokers: Fidelity, Charles Schwab
- Banks: DBS (Singapore), UBS (Switzerland)
- Physical buyback: 600+ points globally
How to check reserves?
1. Find the serial number of the token in the blockchain
2. Check via [Paxos Proof-of-Reserves]
3. Request a photo of the bar (for owners of 10+ PAXG)