Gold-backed cryptocurrencies, including Tether Gold (XAUT) and Paxos Gold (PAXG), have seen a significant increase in value, rising approximately 7% over the past month as investors look for safe haven assets amidst global economic turmoil. On April 22, Tether Gold peaked at $3,529 while Paxos Gold reached $3,520. Both cryptocurrencies have recorded over 40% growth over the past year. The surge in demand is attributed to macroeconomic factors such as rising geopolitical tensions and a growing appetite for inflation-resistant assets. In this context, gold has also witnessed a price upturn, jumping from $3,115 an ounce to $3,335 in less than 30 days. This trend mirrors the performance of Bitcoin, often termed digital gold, which experienced a 14% rise during the same period. The market for real-world asset (RWA) tokenization is also expanding, with its capitalization increasing to $21.6 billion. Tether Gold and Paxos Gold exemplify this trend as they are backed by physical gold reserves, allowing for instant settlements compared to traditional investment options, further amplifying their appeal during uncertain economic times.

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