The benefit of PAXG for professional market makers is that:
- this can always be redeemable as last resort,
- there are professional market makers on FTX to sell with tight spread (because gold is a deep market)
- PrimeXBT for example has Gold markets so you can easily hedge with crypto collateral too.
On the other hand, sXAU is $500,000 market cap so not quite the same yet.
I think objectively, tokenised Gold is the most stable digital asset after stablecoins. Not sure how easy it is to add an oracle feed for gold, and whether there is enough demand. Could be something that Paxos pushes somehow …