Paxos Trust Company
PAX Gold
vaulted gold that moves like a token
Key facts
- #44by market value
- Rank
- Gold tokenone ounce each
- Type
- 2019by Paxos
- Launched
- Gold-backedmatches vaulted ounces
- Supply
PAX Gold (PAXG) is a token from Paxos Trust Company in which each unit represents one fine troy ounce of London Good Delivery gold held in vaults in London.
What it is
PAX Gold (PAXG) answers an old problem: owning physical gold usually means storage fees, minimum sizes and slow settlement. Each PAXG token represents one fine troy ounce of a London Good Delivery gold bar, held in custody by Paxos Trust Company in LBMA-accredited vaults in London. Paxos, a regulated US financial institution, launched the token on 5 September 2019 with approval from the New York State Department of Financial Services, calling it the first crypto asset redeemable for physical gold. The memorable fact is the divisibility: a bar that weighs around 400 ounces can be owned in slices of 0.01 tokens.
How it works
PAXG is an ERC-20 token on Ethereum, so it moves between wallets and exchanges like any other token, while the gold behind it sits allocated in a vault. Allocated means specific bars are assigned to token holders rather than pooled as a general claim. Paxos publishes attestation reports each month, in which an independent accountant verifies that tokens in issue match ounces in custody, and an online lookup tool lets any holder enter a wallet address and see the serial numbers of the bars backing their tokens. Holders can redeem for Good Delivery bars, for unallocated London gold in institutional size, or simply sell for dollars. The token’s price therefore tracks the spot gold price rather than crypto sentiment.
The story so far
Paxos built PAXG on the back of its earlier stablecoin work and positioned it as the conservative end of tokenisation. It has avoided the controversies that have followed some asset-backed tokens, largely because the backing is allocated, audited monthly and redeemable. Paxos Trust Company now operates as a national trust bank regulated by the US Office of the Comptroller of the Currency, according to its current disclosures. The token’s fortunes have followed gold itself, and the metal’s strong run through the mid-2020s pulled PAXG steadily up the market value rankings.
Where it stands
As of late July 2026 PAXG ranks about 44th among cryptocurrencies by market value, at roughly $1.8bn, with each token trading near $4,057, according to CoinGecko, which mirrors the gold price of about $4,060 an ounce. Around 445,000 tokens are outstanding, representing the same number of vaulted ounces. The things to watch are the gold price itself, since PAXG is designed to follow it one for one, the monthly attestations that confirm the backing, and competition from rival gold tokens. PAXG is a way of holding gold, with gold’s risks and none of gold’s yield, and nothing here is investment advice.