Spot gold broke above 4525, and many people are starting to look at the opportunity of tokenized gold. To be honest, this type of product indeed solves some longstanding problems of traditional gold—high storage fees, hassle of division, and poor liquidity.

The core appeal is that by moving gold onto the chain, you can preserve its hedging properties while also earning yields in DeFi. This year, gold has increased by over 70%, and the demand for digital gold has risen accordingly. During a period when the overall crypto market is under pressure, these products can indeed serve as a hedge.

For actual allocation, it is recommended to allocate about 10% to 20% of your investment portfolio to try. There are many similar products on the market, such as PAXG, XUAT, and a few others. Holding a diversified portfolio can reduce single-point risks.

But don’t forget the risk factors: whether the anchoring mechanism audit is reliable, the credibility of the issuing institution, and whether the smart contract has vulnerabilities—all these need to be carefully checked. If gold experiences a 3% to 5% correction, that’s a more reasonable entry point. Don’t chase the high; be patient and wait for opportunities.