Paxos Labs and Theo have launched yield-bearing commodity tokens, targeting a market valued at over $5 billion. Paxos Labs rolled out PAXGy on September 24, 2026, while Theo introduced thGOLD in January 2026 with an approximately 2% yield from gold lending, before expanding into tokenized silver in September 2026. Trading volume for tokenized gold reached $90.7 billion in Q1 2026, surpassing the total for all of 2025. Over 450,000 wallets now hold tokenized commodities, with PAXG and XAUT leading the segment. These products grant gold holders access to institutional lending markets while carrying counterparty risk absent from traditional spot-price tokens.
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