Tokenization Unstoppable: Mega Whale Holds 3 Tons of Gold Onchain

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As a researcher with a keen interest in the intersection of traditional finance and blockchain technology, I find the recent trends in gold tokenization and widespread asset tokenization incredibly intriguing. The idea that 3 tons of gold can be represented as a digital asset on a public ledger like Ethereum is mind-boggling, especially considering the anonymity that comes with it.

Gold, traditionally seen as a measure of wealth, is nearing the $3,000 mark and is presently being traded above $2,700, setting new record highs along the way.

Gold price increases could potentially lead investors to move their funds towards Bitcoin, the digital counterpart, causing its value to surpass the $74,000 mark globally.

3 Tons Of Gold Tokenized

One individual appears to find value in both gold and Bitcoin, as they appreciate the flexibility of cryptocurrency alongside the traditional appeal of gold.

According to a recent study conducted by Arkham, a blockchain research company, a single digital wallet contains more than a quarter-billion dollars worth of Tether Gold. Translated into physical terms, this gold-backed crypto treasure amounts to about 3 metric tons.

Currently, it’s unclear who owns this tokenized hoard. Nevertheless, Arkham posits that the 3-ton gold may be owned by RhinoFi based on AI analysis. Notably, the layer-2 bridge has handled assets valued at over $2.3 billion from approximately 48.8 million transactions. At present, it links 31 different chains and connects more than 2 million user accounts.

Tether Gold functions as a digital currency that reflects the actual worth of gold in the real world. As of October 22, approximately 246,520 units of this digital gold have been created on Ethereum. Data from Ethplorer indicates that there are around 2,618 unique holders of these tokens, and over 39,500 transactions have taken place.

While it’s yet to be definitively proven that RhinoFi dominates almost half of all Tether Gold in circulation, the trend towards tokenization is gaining momentum. The thriving popularity and broad acceptance of stablecoins backed by the US Dollar, such as USDT and USDC, particularly in developing economies, underscores their long-term viability.

BlackRock Confident, Over $2.4 Billion Of US Treasuries, Bonds Lives Onchain

Transforming tangible assets into digital tokens on open platforms such as Ethereum or Polygon simplifies the process of transferring these assets and offers a means for users to invest. In fact, the CEO of BlackRock anticipates that the market for tokenization could reach trillions in the coming years.

According to data from CoinGecko, approximately $7.9 billion worth of assets have been converted into tokens. The majority of these tokens can be found on platforms like Ondo, Pendle, and Mantra. In addition to Tether Gold, other tokenized options include Pax Gold and Quorium.

Beyond just gold, real estate and U.S. Treasury securities are now represented as digital assets, a process known as tokenization. Notably, BlackRock, a global leader in asset management, is currently issuing BUIDL tokens on the Ethereum blockchain.

According to the information from rwa.xyz, a total value of approximately $2.4 billion in U.S. Treasuries, bonds, and similar financial instruments has been turned into digital tokens. Currently, BlackRock’s BUIDL platform is overseeing more than half a billion dollars ($550 million) of these tokenized U.S. Treasuries.

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2024-10-23 12:41