Overview
- Peter Schiff announced a tokenized gold platform under SchiffGold, including a Tgold token, a neobank app and debit cards designed to let users transfer balances and redeem for physical metal.
- Changpeng Zhao argued tokenized gold is not truly on-chain, labeling it a “trust me bro” product that depends on custodians for future delivery and contradicts crypto’s self-custody ethos.
- Gold-backed tokens have grown to roughly $3.8–$3.9 billion in market value, led by Tether Gold (XAUT) and Paxos Gold (PAXG), even as spot gold pulled back from record highs recorded earlier in October.
- CZ and Schiff publicly agreed to hold a debate comparing Bitcoin with tokenized gold, with details and timing still to be set.
- New analysis highlights operational frictions and control risks, including bar-size redemption minimums, KYC-driven processes and issuer admin keys that have enabled freezes such as Paxos’ 2022 PAXG immobilizations.