Wintermute launches institutional OTC trading for tokenized gold as demand for blockchain settlement grows.
Tokenized gold trading volume reached $126 billion and outpaced major gold ETFs in late 2025.
Wintermute expects the tokenized gold market to reach 15 billion by 2026 as adoption rises.
Wintermute has expanded into tokenized commodities with a new institutional OTC service for gold-backed tokens. The firm now offers execution services for Pax Gold and Tether Gold. The launch comes as tokenized gold trading accelerates despite a wider crypto slowdown. The company confirmed the rollout through industry reports and market updates.
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The OTC desk will support Pax Gold (PAXG) and Tether Gold (XAUT), the two largest gold-backed tokens by market value. Moreover, Wintermute plans to provide algorithmically optimized spot trading for institutional counterparties. The service allows exposure to gold through blockchain-based settlement. As a result, institutions can access gold markets with faster execution and flexible settlement options.
Tokenized Gold Volumes Outpace Major ETFs
Tokenized gold reached a major milestone in the fourth quarter of 2025. Trading volume surpassed that of the five largest gold ETFs for the first time. The volume hit $126 billion during the period. This shift signals rising demand for blockchain-based commodity access.
At the same time, tokenized gold market capitalization surged more than 80% in three months. It climbed from $2.99 billion to $5.4 billion. Investors have increasingly favored 24/7 liquidity and instant settlement. In contrast, traditional storage and ETF structures operate within fixed market hours.
Gold has traded near historic highs amid macroeconomic uncertainty. Consequently, investors have sought flexible hedging tools. Expectations around de-dollarization have also influenced allocation strategies. These factors have strengthened demand for tokenized gold products.
Institutional Infrastructure and Market Forecast
Wintermute will allow institutions to trade PAXG and XAUT against USDT, USDC, fiat currencies, and major crypto assets. This structure enables real-time hedging and collateral mobility. Furthermore, OTC execution reduces market impact for large transactions. Institutional desks often prefer OTC channels for sizable trades.
Industry reports indicate that Wintermute expects the tokenized gold market to reach $15 billion in 2026. However, the company has not disclosed the methodology behind the projection.
Wintermute operates as a leading liquidity provider in digital asset markets. The firm specializes in algorithmic trading and over-the-counter execution. Its entry into tokenized gold adds commodities to its institutional offering. Therefore, tokenized gold joins a growing list of blockchain-based products targeting hedge funds and corporate investors.
Tokenized gold represents physical gold held in vaults. Blockchain tokens function as claims on that gold. Investors can transfer and settle these tokens electronically.