Key Highlights
- Peter Schiff has challenged Binance’s founder, Changpeng Zhao (CZ), to debate over Bitcoin versus tokenized gold
- This challenge comes after CZ’s recent remark about Peter Schiff’s view on tokenized gold, saying that tokenized gold is not on-chain gold
- This debate comes amid the boom in tokenized assets thanks to Trump’s pro-crypto administration
Amid turmoil in the global financial market, Peter Schiff, CEO and Chief Global Strategist of Euro Pacific Capital, has invited Binance’s co-founder, Changpeng Zhao (CZ), to debate over Bitcoin versus tokenized gold.
In the latest post on X, Peter Schiff fired a shot at the Binance founder, saying that he is challenging CZ to debate over which best satisfies the conditions of money, which include being a medium of exchange, a unit of account, and a store of value. Who wants to moderate?
Peter Schiff’s Plan to Launch Tokenized Gold ‘Tgold’
The centre of this discussion is Peter Schiff’s recent revelation, where he reportedly revealed that he is planning to introduce a tokenized gold product by leveraging blockchain technology. He also believes that this launch would challenge the biggest cryptocurrency, Bitcoin’s position, which currently holds $2.18 trillion.
He said, “I’ve always said that tokenized gold was where blockchain and crypto would ultimately end up. Tokenizing real assets, to increase liquidity and portability, adds value. Tokenizing worthless strings of numbers does not.”
“You’ll be able to buy gold on an app through your phone, the gold will be stored in a vault and then you will be able to effortlessly transfer ownership of gold to people you know or redeem it for physical gold,” he added further.
CZ Rebukes Tokenized Gold Concept
Binance’s CEO quickly responded to this claim, saying that “Tokenizing gold is NOT “on chain” gold.” He said, “Saying the obvious. Most people “in crypto” know this, most people “not in crypto” may not understand yet.”
“It’s tokenizing that you trust some third party will give you gold at some later date, even after their management changes, maybe decades later, during a war, etc. It’s a “trust me bro” token. This is the reason no “gold coins” have really took off,” he said.
A New Trend of Tokenizing Real World Assets: Good or Bad?
According to CoinMarketCap, the cumulative market capitalization of tokenized gold currently revolves around $2.49 billion, which includes tokenized variants like Tether Gold (XAUT) and Paxos Gold (PAXG). However, this is very small compared to gold’s real-world market capitalization, which is around $28.956 trillion.
In 2025, the tokenization of real-world assets (RWAs) has exploded as it surpassed over $60 billion, which is a digital representation of tangible assets like gold, real estate, and commodities on blockchain.
The reason behind the boom in this token is fueled by blockchain’s promise of liquidity, fractional ownership, and access to illiquid markets.
Tokenized gold in particular stands out as the gateway asset, blending gold’s timeless stability with crypto’s efficiency. Spot gold hit $4,325 per ounce in October amid a global trade war, pushing its market cap to approximately $30 trillion.
In the concept of tokenized gold, Ethereum dominates, hosting over $2.7 billion in tokenized gold alone, doubling since January.
Not only gold, but the concept of RWA has also penetrated other sectors. For example, Private credit leads at $10 billion tokenized, followed by U.S. Treasuries, real estate, and commodities. Platforms like Solana have also seen 200% growth, with tokenized assets topping $550 million.
This boom in tokenization comes after U.S. President Donald Trump openly endorsed the crypto industry. Under Trump’s pro-crypto administration, the cryptocurrency sector has witnessed an impressive development from the regulatory side, including the approval of the GENIUS Act.
In July, the Securities and Exchange Commission (SEC) Commissioner Hester M. Peirce stated in an official statement that “Tokenization may facilitate capital formation and enhance investors’ ability to use their assets as collateral. Enchanted by these possibilities, new entrants and many traditional firms are embracing onchain products.”
“As powerful as blockchain technology is, it does not have magical abilities to transform the nature of the underlying asset. Tokenized securities are still securities. Accordingly, market participants must consider—and adhere to—the federal securities laws when transacting in these instruments,” she added further.