The tokenized gold market is once again in the spotlight. The leading asset in the sector, PAX Gold (PAXG), is showing a sharp surge in on-chain activity, coinciding with a moderate rise in physical gold prices over the past week. The data indicates that interest from institutional and retail investors in this instrument has reached new heights.
Analyzing PAXG's network metrics, I observe a significant capital inflow on-chain. The key indicator—the number of daily active addresses—has soared to an all-time high of 8,830. At the same time, the realized profit volume has reached $6.77 million, the highest value in the last five months. This dynamic is a direct result of the rise in gold prices, which increased by 2.45% over seven days.
Why tokenized gold is back in focus
The reason for this surge is clear: gold is once again showing strong upward momentum, and tokenized assets like PAXG provide traders with a safe and liquid way to deploy capital on-chain without needing to withdraw funds into fiat. Each PAXG token is backed by one troy ounce of physical gold, making it an ideal bridge between traditional finance and the crypto economy.
However, behind the rise in realized profit lies an interesting pattern. Analysis of fund flows between exchanges and holder wallets indicates that many investors are not so much locking in profits as accumulating the asset. The net outflow of PAXG from exchanges over the past day was $6.9 million—approximately 3.7 times the average. Meanwhile, owners of new wallets purchased an additional $1.8 million in the token. Over the past seven days, exchanges have recorded a steady net outflow, while sales by the largest holders remain moderate—only $105,400.
Data points to accumulation
This dynamic suggests that we are witnessing not mass distribution, but rather an accumulation phase. Investors are likely expecting further gold growth amid upcoming macroeconomic events. Key triggers for PAXG and the precious metals market in general include the release of the minutes from the U.S. Federal Reserve's June meeting (scheduled for Wednesday) and U.S. inflation data for June, due out on July 14.
My view: If gold maintains its current positions or continues to rise, PAXG will remain one of the most sought-after and "safe" instruments in the crypto market. The record number of active addresses confirms that interest in tokenized real-world assets (RWA) is not waning, despite volatility in the crypto sphere. This is a clear signal of market maturity and its readiness to integrate traditional assets into a decentralized ecosystem.