For centuries, owning gold meant dealing with brokers, paying for vault storage, and meeting minimum purchase requirements that often ran into thousands of dollars. A single London Good Delivery gold bar weighs 400 troy ounces and costs over $1.3 million at current prices, placing physical gold ownership out of reach for most investors. Even smaller bullion coins require secure storage, insurance, and the constant worry about authenticity and theft.

Tokenized gold brings a new way for investors to own real gold without these traditional barriers. Through blockchain technology, you can now buy fractional ownership of actual gold bars stored in secure vaults, starting with amounts as small as $20. The tokenized gold market reached $2.57 billion in September 2025, growing 140% in two years as investors recognized the advantages of digital gold ownership.

This guide explains what tokenized gold is and how to buy it safely through INX’s regulated platform.

What is Tokenized Gold? 

Tokenized gold is a digital representation of physical gold stored in secure, audited vaults. Each tokenized gold token is backed by an ounce or gram of gold, so when you buy a tokenized gold token, you get a legal claim to that specific amount of precious metal. The gold itself is stored in professional storage facilities operated by licensed custodians like Brink’s or Swiss vault operators, while you hold tokenized gold tokens that prove your ownership.

Unlike actual gold bars, the tokenized version is easily movable; you can transfer tokens between wallets, trade on exchanges, or hold them in custody accounts without ever touching physical metal. The blockchain records every transaction, creating transparent proof of ownership that eliminates concerns about counterfeit gold or ownership disputes. 

Besides, when you want to sell, you trade the token rather than arranging armored transport and authentication testing that physical gold requires.

Where to buy Tokenized Gold? 

You should only buy tokenized Gold assets on regulated platforms that verify issuer credibility, custody arrangements, and reserve backing. A regulated platform like INX conducts vetting before listing any tokenized asset, checking issuer credentials, custody quality, and compliance with securities regulations. 

This pre-screening protects you from fraudulent offerings and unverified gold claims that appear on unregulated exchanges. When buying through INX, you benefit from the same investor protections that apply to traditional securities traded on the platform.

A Step-by-Step Guide to Buying Tokenized Gold on INX 

In this section, we will cover what you need to buy PAXG and other tokenized Gold assets on INX. First thing is to create an account, this process involves providing basic personal information, setting up login credentials, and agreeing to the platform’s terms and conditions. If you have an account already, you don’t have to bother about this step. 

Also, you have to follow a KYC process to verify your account to buy or trade tokenized assets on INX because the KYC process is necessary for full compliance with regulatory oversight. 

Once your account is verified, you’re set to buy your tokenized Gold token. But before then, you’ll need to fund your account with either fiat currency or cryptocurrencies. For fiat currency, you can deposit via a credit/debit card, bank wire transfer, or ACH. Check out our guide on how to buy cryptocurrency with a credit card and our page about funding INX.ONE account.

To buy tokenized Gold assets like PAGX, navigate to the trading section on INX, select your asset, and enter the amount you wish to purchase. 

  • Click on “Market” to buy at the current market price immediately. Input the amount you want to buy and click on the green Buy Button. 
  • Use the limit option if you have a price you want to buy at; the order will be carried if/when the price gets to that point. 

You’ll get your tokenized Gold assets in your wallet once the transaction is complete.

What to Consider Before Buying a Tokenized Gold Asset?

The issuer’s credibility is the foundation of any tokenized gold asset you want to buy, since it maintains the credibility of the asset. So, you want to check whether the issuer operates as a regulated financial entity or simply claims to hold gold reserves without independent verification. Platforms like Paxos operate as New York trust companies under NYDFS oversight, while other issuers may lack equivalent regulatory accountability. Research the issuer’s track record, look for evidence of operational history, and verify that credible custodians actually hold the underlying gold.

Custody transparency determines whether your tokens represent real ownership or unverified claims. Legitimate tokenized gold issuers provide detailed information about where gold is stored, which custodian maintains physical possession, and how often independent auditors verify reserves. 

Buying through INX.one reduces the need for due diligence steps since the platform’s listing requirements ensure that only compliant, verified tokenized gold products appear in trading inventories. INX conducts regulatory vetting before approving any tokenized asset for trading, checking issuer credentials, custody arrangements, and compliance with securities regulations. 

Frequently Asked Questions

Is tokenized gold backed by real gold?

Yes, legitimate tokenized gold like PAXG and XAUT maintains 1:1 backing with physical gold bars stored in professional vaults. Each token represents ownership of a specific weight of gold, typically one troy ounce, held by licensed custodians in facilities like Brink’s in London or secure Swiss vaults. Independent auditors verify that circulating token supply matches physical gold reserves through regular attestations. 

Can I redeem my tokenized gold for physical gold?

Redemption options depend on the specific tokenized gold product and issuer terms. For example, PAXG enables redemption for physical London Good Delivery gold bars through Paxos, though minimum amounts typically require institutional-scale holdings and identity verification.

Where can I buy Tokenized Gold? 

Tokenized gold trades on both cryptocurrency exchanges and regulated securities platforms like INX. For investors prioritizing regulatory compliance and investor protections, platforms like INX provide SEC-registered access to tokenized gold alongside other digital securities. 

Is it safe to buy Tokenized Gold?

Using regulated platforms like INX and established issuers like PAxos ensures transparent custody arrangements and regular audits, which make them as secure and safe as possible. 

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