Baku:The digital gold market is witnessing a significant opportunity for growth, as potential demand could reach a staggering $700 billion. Although digital gold currently represents less than 1% of the $13 trillion global physical investment gold market, new digital products and investment opportunities are driving this growth potential.
According to Azeri-Press news agency, the current digital gold market is valued between $45 billion and $55 billion. In the first quarter of 2026, tokenised gold achieved $90 billion in cumulative spot trading volumes, surpassing the entire trading volume of 2025. This indicates a robust interest and a promising future for digital gold investments.
The study suggests that the digital gold market could expand by an average of 27% annually, reaching $160-170 billion by 2031. In a scenario where potential unmet demand is fully realized, the market size could rise significantly, potentially matching the current market size of physically backed gold exchange-traded funds (ETFs).
Tokenised gold is a digital asset that is backed by physical gold, with each token representing a specific amount of gold. Currently, Tether Gold (XAUT) and Paxos Gold (PAXG) dominate the market, holding more than 90% of the segment.