World Gold Council Proposes Standardization for Tokenized Gold
- The World Gold Council aims to standardize tokenized gold through a shared infrastructure service called “Gold as a Service.”
- Tether Gold and PAX Gold have reached a combined market cap of $4.9 billion since their inception five years ago.
- Current leaders in gold-backed tokens, like Paxos and Tether, have developed their own custody systems independently.
- The proposed framework aims to simplify access to physical gold and reduce entry barriers for new issuers.
The World Gold Council is working on creating a standardized framework for tokenized gold, aiming to facilitate the management of physical reserves through shared infrastructure. This initiative seeks to lower barriers for new entrants in the market by providing a more cost-effective way to manage gold-backed tokens.
By establishing standards, the council hopes to increase confidence in tokenized gold products and potentially expand the market beyond current leaders like Tether and Paxos, which have already achieved significant market caps with their independent systems. (Source)
