Tokenized gold and stablecoins are experiencing significant growth, driven by rising physical gold prices and developments in the cryptocurrency market.
The Rise of Tokenized Gold
In March, the value of the tokenized gold market soared to $1.4 billion, marking a record-high for 2023. As the price of physical gold surpassed $3,000 per ounce, it fueled this market segment. Tether's XAUT token achieved a market valuation of $749 million, while Paxos' PAXG token reached $653 million.
Are Stablecoins Following the Trend?
The stablecoin sector has also shown growth, with a market valuation exceeding $231 billion. Tether's USDT token achieved a record supply of $144 billion, while Circle's USDC approached $60 billion, growing by 7% over the month. Ethena’s new stablecoin USDtb quickly secured a market position valued over $1 billion.
Regulation and New Products in the Market
European regulations are impacting the market as exchanges like Kraken and Coinbase delist USDT for non-compliance. Nevertheless, Circle’s EURC stablecoin, indexed to the euro, surged 30%, reaching a market value of $157 million.
The surge in tokenized gold and stablecoins aligns with wider financial trends, presenting new opportunities for investors.
