Tokenized Gold Could Unlock $700B as Bitcoin and Gold Attract Investors

Tokenized-gold image featuring gold bars and a rising price chart representing the World-Gold-Council outlook, Bitcoin-gold comparisons, the digital-gold-market growth, and gold's role as an inflation hedge.

The tokenized gold arena is now gaining central momentum as of late. Per the latest World Gold Council estimates, the digital gold market may end up unlocking nearly $700B in potential investment demand. However, the opportunity depends on how accessible this development may become for gold by making it easier to buy, transfer, and use in financial markets.

The report developed with the help of Boston Consulting Group puts the current digital gold market at $45B to $55B. This represents the existing market, while the $700B figure refers to potential long-term demand rather than a confirmed increase in investment.

Also Read: Alphabet Stock Faces $410 Target Cut as Waymo and Federal AI Push Expand

World Gold Council Sees Room For Digital Gold Growth

Gold buying with gold bars placed over currency notes, highlighting Central bank gold demand, US dollar weakness, Gold Demand, and Dollar purchasing power.
Source: Pexels

The World Gold Council believes digital platforms may end up making gold accessible, even to those who may not have previously explored the precious metal. The research conducted by the council found that nearly nine in ten retail investors surveyed would consider digital gold under the right conditions. The organization also believes that this arena has the potential to expand, growing from $160B to $170B in value by 2031 under its base case scenario.

Tokenized Gold in essence represents a digital claim on physical gold, which is typically held in secure storage. Instead of purchasing the bullion directly, investors can access tokenized gold through digital tokens. The World Gold Council is developing a shared infrastructure called Gold as a Service to help companies bring digital gold products into the mainstream market.

Also Read: JPMorgan Sees Bitcoin Beating Stocks and Gold as Michael Saylor Warns Robots Will Devalue Goods Making BTC Valuable

Bitcoin and Gold Gain Steam Amid Inflation Concerns

The discussion around tokenized gold and associated products might gain momentum due to gold being a potential inflation hedge. Adam Reeds, the CEO of the digital assets-backed lending platform Ledn, argued how gold and bitcoin may end up playing a crucial role in wealth preservation amid rising inflation concerns and falling purchasing power of the US dollar.

“The past 18 months was a little bit different in gold because gold had a pretty crazy run-up, but generally speaking, gold remains the safe haven, the place where you’re going to store wealth, but not maybe hit the 25% annualized returns that you can do with Bitcoin.”

Bitcoin has recently drawn attention after J.P. Morgan Asset Management projected annualized returns of 10% over the next 10 to 15 years, putting it ahead of US large-cap stocks, which are projected to return 7.5%, and gold, with an estimated return of 5.5%.

The Bitcoin price chart by MarketCapOf shows BTC’s long-term growth, rising from $116 (May 2013) to a displayed price of $82,710 on October 21, 2026. Despite several sharp corrections and periods of volatility, Bitcoin has climbed significantly over time, reaching peaks above $120,000 before retreating. The chart highlights Bitcoin’s long-term price appreciation while also showing the substantial fluctuations investors face in the cryptocurrency market.

Also Read: TRON TVL Hits $5.7B and Stablecoin Activity Surges, Can TRX Rally in 2026?

Juhi Mirza

Written by Juhi Mirza

Juhi Mirza is a crypto journalist and writer covering digital assets, blockchain, markets, and emerging trends in the Web3 industry.

Read Next