PAXG price tracks the price of the gold it represents, which is subject to changing market conditions. The token seeks to make purchasing gold bullion easier, faster and more accessible through fractional ownership.
PAXG Price
Paxos Trust introduced PAX Gold in September 2019. Unlike with many cryptocurrencies, there is no maximum supply for the asset because Paxos Trust can issue as many tokens as demand requires.
Issuance of PAXG is subject to market demand for the gold-backed token and is not subjected to a fixed schedule. When a user redeems a PAXG token for physical gold, the corresponding PAX Gold token is burned immediately.
How Does PAX Gold Work?
Every PAXG token is backed by one ounce of allocated gold stored in Brink’s vaults. For smaller amounts, physical gold retailers are used to help investors redeem their tokens.
Paxos Trust uses Chainlink’s data oracle product to provide real-time price information for gold and the PAXG token. An oracle is technology that brings data from an external source to a blockchain.
Key Events and Management
PAX Gold (PAXG) was founded by the Paxos Trust, the same company that manages the Paxos brokerage platform. The firm has received $540 million in funding from investors, including Mithril Capital Management, PayPal Ventures, Declaration Partners and Oak HC/FT Partners.
