Uniswap captures 84% of tokenized gold DEX volume as real-world assets flood DeFi
Commodities
Uniswap has established a near-monopoly in the tokenized gold sector, currently capturing 84% of all decentralized exchange trading volume for the asset class. This dominance is driven primarily by PAXG and XAUt, two major gold-backed tokens that together account for roughly 84% of the sector's total market capitalization as of mid-2025. The market for tokenized gold has matured significantly, reaching an estimated $178 billion in trading volume throughout 2025, a figure that rivals traditional gold ETFs. By operating on the Ethereum blockchain, these tokens offer 24/7 liquidity and DeFi utility that traditional gold markets cannot match. While this concentration provides traders with tighter spreads and deeper liquidity, it also introduces significant systemic risk should the platform face technical or regulatory disruptions. The ability to deploy these assets as collateral in lending protocols has further cemented their role as productive capital. Ultimately, the shift toward on-chain gold reflects a broader transition from experimental niche to a robust, high-volume market.
Key points
- ▸Uniswap controls 84% of all decentralized exchange volume for tokenized gold.
- ▸Tokenized gold trading reached an estimated $178 billion in 2025 volume.
- ▸PAXG and XAUt dominate the sector with 84% of total market capitalization.
- ▸Daily trading volumes for tokenized gold peaked above $600 million in 2025.
Background
Tokenized gold tokens like PAXG and XAUt are digital assets where each token is backed by one troy ounce of physical gold held in secure reserves. These assets allow investors to gain exposure to gold price movements on-chain, bypassing the storage, insurance, and brokerage requirements associated with traditional gold ownership.
Relevance
8/10