PAX Gold

PAX Gold (PAXG) is a regulated tokenization of physical gold in which each token is intended to represent one fine troy ounce of a London Good Delivery bar held in professional vaults under the custody of Paxos Trust Company. Owning the token confers ownership rights to that allocated metal, and because the claim is on real gold, PAXG's price moves with the live market value of bullion rather than any independent crypto dynamic.

How Paxos custody and conversion work

What distinguishes PAXG operationally is its integration with Paxos's regulated platform. Customers can convert tokens to allocated gold, unallocated gold or fiat, and hold fractional interests in specific bars, which reduces settlement risk relative to conventional gold dealing. Paxos operates under New York trust supervision, and PAXG trades on the firm's own venue as well as third-party exchanges, positioning it as the compliance-forward option in tokenized gold.

Fees and how PAXG compares to Tether Gold

There are no emissions, no staking and no protocol yield; PAXG is a pass-through wrapper, and any cost to holders shows up in redemption and conversion fees rather than ongoing token inflation. Its natural competitor is Tether Gold, and buyers effectively choose between the two on issuer identity, regulatory jurisdiction, vaulting and fee structure, since the economic exposure, spot gold, is essentially identical.

The bull and bear case for PAXG

On the bull side, PAXG offers auditable, regulated gold ownership that settles on-chain in seconds and slots into DeFi as hard-asset collateral, with a custodian operating under a recognized US trust regime. On the bear side, the risks are those of any tokenized commodity: reliance on the custodian's solvency and controls, the legal enforceability of the ownership claim, vault and insurance quality, and redemption thresholds that make physical delivery impractical for small holders.

Who PAXG is best for

PAXG is best understood as a savings and hedging tool for holders who want gold with digital portability and a regulated issuer, not a vehicle for appreciation beyond the metal itself. As always, this is not investment advice.

1. 1. Choose an exchange. Pick a reputable exchange that lists PAXG — among the venues we rate highest are Binance, OKX and Kraken.
2. 2. Create & verify your account. Register, enable two-factor authentication, and complete identity verification (KYC).
3. 3. Deposit funds. Add money by bank transfer, card, or a stablecoin, depending on what the exchange supports in your region.
4. 4. Buy PAXG. Search for PAXG, choose a market or limit order, enter your amount, and confirm.
5. 5. Secure your coins. For long-term holdings, withdraw PAXG to a self-custody wallet you control rather than leaving it on the exchange.

Compare venues in our independent exchange ratings. This is not financial advice.