The short version
- Digital gold is a token that gives you ownership of a set amount of allocated physical gold, usually one troy ounce per token.
- Every serious issuer follows six stages: source and vault the gold, build the legal structure, choose a chain, mint, verify reserves, then trade or redeem.
- GLDY launched on 25 February 2026 and targets around 3.5% a year, paid monthly in more gold.
- Since 23 July 2026, GLDY buys and redemptions settle instantly with Wintermute as liquidity provider.
What is digital gold?
Digital gold is a token that gives you ownership of a set amount of physical gold held in a vault for you.
Usually one token equals one troy ounce, and you can own fractions. Each token is backed by metal, checked by auditors and published on-chain so anyone can verify it, which separates it from gold derivatives and price trackers.
The ownership record lives on a blockchain.
Moving gold becomes as easy as sending a text, with no settlement delay, no broker and no market close. Gold has always been slow and awkward to move, and that's the problem tokenization solves. People sometimes call bitcoin "digital gold" as a metaphor for scarcity. This guide is about tokens backed by actual bullion.
How a gold bar becomes a token
Six stages: buy the gold, vault it, build the legal structure, mint the tokens, verify the reserves, then trade or redeem.
From gold bar to token
Look for one word: allocated.
Allocated means specific bars are assigned to token holders and legally separated from the issuer's own assets. If the issuer goes under, your gold is still yours. Unallocated means you're a creditor holding an IOU. It's the most important detail in the whole structure, and it's easy to check.
Every mint and burn is public.
Because tokens only exist when gold enters the vault, nobody can create them out of nothing, and every mint and burn is recorded permanently on-chain where you can look it up.
Streamex and GLDY
Streamex Corp. (NASDAQ: STEX) turns commodities into tokens, starting with gold.
GLDY: gold that pays you in gold
Digital gold through GLDY gives one-to-one exposure to allocated physical gold and pays a target yield of around 3.5% a year, monthly, in more gold. It launched on 25 February 2026. Because the yield arrives as metal, the number of ounces you own rises every month, whatever the gold price is doing. The yield comes from leasing bullion through Monetary Metals to jewellers, mints and refiners, an established practice in the professional bullion market that individual investors couldn't previously reach. Custody runs through qualified custodians including Anchorage Digital Bank, a federally chartered crypto bank, plus Coinbase Prime, tZERO and BitGo. Access is gated: GLDY is a restricted security with minimum investments, and identity checks are enforced at the token level.
The Wintermute upgrade
Since 23 July 2026, buying or selling GLDY settles instantly.
Before July, trades settled on a T+2 basis, so a Friday afternoon sale cleared on Tuesday. With Wintermute as continuous liquidity provider, both directions settle at T+0, around the clock. Streamex seeded the facility with 1,069 GLDY and $5 million USDC, taking secondary liquidity to roughly $12 million across three venues: Wintermute's instant pricing through the Streamex interface (orders capped at 1,000 GLDY or $4.5 million per 48 hours, with larger trades handled OTC), Orca's permissioned pools on Solana, opened on 27 May 2026, and tZERO's regulated alternative trading system.
Digital gold vs gold ETFs
A gold ETF is a share in a fund that owns gold. Digital gold is the gold, in your name.
| Gold ETF | Digital gold | |
|---|---|---|
| Trading hours | Exchange hours only | 24/7, 365 |
| Settlement | T+1 or T+2 | Seconds |
| Custody | Held by the fund | You can hold it yourself |
| What you own | Shares in a fund | A claim on specific allocated bullion |
| Swap for metal | Usually not for retail | Yes, subject to terms |
| Cost of holding | Management fee, roughly 0.1% to 0.4% a year | Can pay you a yield |
| Minimum | One share | Often fractional |
ETFs are simple, deeply liquid and fit neatly into pensions and tax wrappers. Digital gold gives you direct ownership, all-hours trading, self-custody and the possibility of yield, on newer infrastructure with a shorter track record. Plenty of people hold both. Our GLDY vs gold ETFs comparison goes further.
How to buy digital gold
- Work out what you want. Price exposure or gold that earns? Self-custody or a managed account?
- Check you're eligible. GLDY is limited to accredited investors with minimums, and availability varies by country.
- Verify the backing. Look for allocated LBMA-standard bars, named vaults and custodians, a named auditor publishing regular reserve checks and ideally on-chain proof of reserves.
- Pick your route. Buy from the issuer, through a broker for regulated products, or with a swap on a decentralized exchange for open tokens.
- Sort out custody. Self-custody means nobody can freeze your access, and losing your recovery phrase means losing your gold. Use a hardware wallet for meaningful amounts.
- Read the exit terms. Check how fast you can sell, what redemption costs and whether there's a notice period.
FAQs
What is the gold tokenization process?
Buy LBMA-standard bars, vault them under insurance, build the legal structure, mint tokens one-to-one against the metal, verify reserves through auditors and oracles, then trade or redeem.
How do I invest in digital gold?
Through the issuer's platform, a broker for regulated products, or a decentralized exchange for open ones. GLDY needs accredited investor verification.
What kind of ownership do I get?
In a well-built product, beneficial ownership of specific allocated bars held in a trust or special-purpose vehicle, separate from the issuer.
What is digital gold worth?
Each token tracks the market price of the gold behind it, adjusted for fees and structure. Use the issuer's platform or a market data site for live prices.
How do I judge a gold tokenization platform?
Allocated LBMA bullion, named vaults and custodians, regular reserve examinations by a named auditor, on-chain proof of reserves, clear exit terms and a regulatory structure that works where you live.
Can I really earn a yield on gold?
Yes. GLDY targets around 3.5% a year, paid monthly in additional gold, from leasing the metal. Yields are variable and not guaranteed, and leasing carries counterparty risk.
Keep reading. Once you know how a gold bar becomes a token, see how it earns in Yield-Bearing Gold and Stacking Yield-Bearing Gold, how it compares in GLDY vs Gold ETFs and what the wider market looks like in Tokenized Gold Statistics 2026.
More in Digital Gold
This guide is for general information only and isn't investment, financial, legal or tax advice. GLDY is offered as a security to verified accredited investors under Rule 506(c) of Regulation D and is a restricted security. Target yields are variable, not guaranteed and may change; gold leasing involves counterparty risk. Liquidity figures and settlement terms are as reported at the time of writing. Products may not be available in all jurisdictions. Streamex Corp. is a publicly traded company (NASDAQ: STEX); statements about future products are forward-looking and involve risk.
