In March 2025, the market capitalization of gold-backed tokens achieved a record $1.4 billion, according to CoinDesk Data's report. This surge was driven by significant trading volume, which reached over $1.6 billion for the month, marking the highest level in over a year. Leading this growth were Tether's XAUT and Paxos' PAXG, with market caps of $749 million and $653 million respectively. The overall stablecoin market, encompassing tokens linked to currencies and commodities, surpassed $231 billion for the 18th consecutive month. Tether's USDT increased to a market cap of $144 billion, yet its market share fell to 62.1%, indicating increased competition in the sector. Moreover, Circle's EURC stablecoin gained nearly 30% to a $157 million market cap amid regulatory changes affecting euro-denominated stablecoins. The growth in gold-token markets accompanied a rise in the price of physical gold, which reached all-time highs above $3,000 per ounce. The evolving landscape indicates a dynamic shift in the stablecoin market, especially with the introduction of new players like Ethena's USDtb.

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