What is PAX gold and how does it work?

PAX gold

Are you following crypto investments? In that case, you might be well aware that cryptos have been a growing investment model. There have been technical advances in the industry every often giving it an advantage. Compared to other investments like stock, real estate, etc. the growth of cryptos has been interesting. thebitcoincode.io is the most trusted platform for trading Cryptos, stablecoins, and other coins.

Along with cryptos, other investments grew simultaneously. It includes stablecoins, and non-fungible tokens to name a few. While cryptos tend to be a modern investment option, there are a few who still prefer the old-school model. Yes, you heard it right. Some investors are still trying to make their luck with old-age assets including gold. Investing in gold has been a long tradition and has surpassed many market crashes. Despite economic changes, this investment model continues to retain attention even today. 

Along with physical assets, the digital investment market is also equally gaining attention. Today, cryptocurrencies have a market volume of $3 trillion. These digital assets have gained a major market share attracting new investments. Now, with both physical and digital assets competing, which asset would you choose?

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This is a confusing question in the minds of many investors today. While physical assets like gold are still safe investments. Can an investor take the risk of investing in cryptos as well?

We have a solution here. 

PAX Gold (PAXG) is a crypto company that works on investing in physical gold. Every day investors can easily buy and trade gold using this crypto platform. 

Understanding PAX Gold

Paxos Gold is a digital currency that has the backing of a profit company based in the US. Every PAXG token is linked to a troy ounce unit of Gold in an equal ratio. The digital bar of gold purchased by each user is stored as digital units in a vault based in the US. The cryptocurrency has also backing from London Bullion Market Association (LBMA). Every user can redeem the token for actual bullion in the marketplace. 

Benefits of investing in PAX Gold

Now that you have understood the working model, let us look at the various benefits of the PAXG token. The primary benefit is the stability to invest in the physical asset through digital currency. The second advantage of buying PAXG tokens is that you eliminate the need for physical storage. As an investor, you do not have to worry about the physical storage of your asset. This also eliminates the need for storage fees and the risk of liquidity. 

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PAXG is developed by the Paxos Trust Company based in the US. The company is primarily in the financial business backed by technology products. The company specializes in providing solutions on the crypto network. In addition to investing in Gold, the company has also developed crypto tokens pegged to the US dollar. Recently, the company raised a running capital of $500 million through various investors. 

PAXGs working model

The token runs on the Ethereum network. Considering this reason, the token has the advantage to integrate with other wallets and other apps. Also, it makes it much easier to enable portability and connection with other exchanges using Ethereum. 

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PAX Gold allows investors to buy, sell, and trade their tokens for gold bars. Despite providing various benefits including security measures PAXG does not charge any fees. There are also no custodial charges on such for storage of assets. 

Is it real gold?

This has been a confusing question in the minds of many investors. PAXG operates on blockchain technology and takes intangible asset form. Every PAXG token is tagged to the physical form of a gold asset. There is a serial number assigned to each token. 

PAXG is nothing but a representation of physical gold in its digital form. Also, there are various benefits to trading digital gold. The number of days to settle this gold is much lesser compared to physical gold. 

PAXG is a good choice if you are looking for investing in physical gold. The trend is best suited for both traditional and modern investors. It allows users to make the most of their investment. Through a single investment, you can take advantage of investing in both physical and digital assets. 

PAX gold

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