PAX Gold

PAX Gold (PAXG) is a tokenized gold asset in which each token represents ownership of one fine troy ounce of a London Good Delivery gold bar held in professional vaults. Issued by Paxos Trust Company, PAXG lets holders own real, allocated physical gold with the speed, divisibility and mobility of an Ethereum token. It is one of the leading real-world-asset tokens in crypto.

What is PAX Gold?

PAXG bridges the gold market and blockchain. Traditionally, owning physical gold means dealing with storage, insurance and settlement friction; owning a gold ETF means trusting a fund structure. PAXG instead ties each token directly to a specific quantity of vaulted bullion under Paxos custody, so its price tracks the real-time market value of physical gold. Holders even get fractional ownership of specific bars and can look up the serial number and characteristics of their gold through Paxos's lookup tool using their wallet address.

How does PAX Gold work?

PAXG is an ERC-20 token on Ethereum, so it inherits Ethereum's proof-of-stake security and composability with wallets and DeFi. On the Paxos platform, customers can convert PAXG to allocated gold, unallocated gold or fiat, and back again, which reduces settlement risk compared with traditional gold trading. Because tokens are redeemable for the underlying metal, the peg is maintained by real reserves rather than an algorithm.

PAX Gold tokenomics and supply

PAXG has no fixed maximum supply. Instead, the number of tokens expands or contracts with the amount of gold Paxos holds in custody, currently around 452,150 PAXG, each corresponding to a troy ounce of vaulted gold. This one-to-one backing is the defining feature: supply is a reflection of real bullion, not an arbitrary issuance schedule.

• Each token: one fine troy ounce of London Good Delivery gold
• Supply: about 452,150 PAXG, fully backed by vaulted gold
• Price tracks the spot price of physical gold

What is PAX Gold used for?

PAXG is used as a digital, tradable form of gold ownership: a hedge against currency debasement, a portfolio diversifier, and collateral within crypto lending and DeFi platforms. Because it moves like any token, holders can transfer gold value globally in minutes and hold fractional amounts far smaller than a whole bar.

Where to buy PAX Gold

PAXG is available on the Paxos itBit exchange and on many broader crypto exchanges; see our best crypto exchanges ranking to compare access and fees. As an ERC-20 asset, PAXG can be stored in any Ethereum-compatible wallet, and our best crypto wallets guide covers self-custody options for holding it securely.

Is PAX Gold a good investment?

PAXG's price behavior mirrors gold rather than volatile cryptocurrencies, which appeals to investors seeking stability or a hedge. The main considerations are counterparty and custody trust in Paxos, gold's own market swings, and any redemption or conversion fees. It is not a growth asset in the way many tokens are; it is digital gold exposure. As always, do your own research and understand that this is not financial advice.