Tether Gold, a tokenized asset backed by physical gold from the stablecoin provider Tether, has gained significant traction with 7.66 tons of gold backing over 259,000 XAUt tokens, resulting in a market value exceeding $800 million. The demand for physical bullion has reached record highs amid inflation concerns, leading investors, including institutions, to explore digital gold alternatives. Recently, Bitcoin treasury firm Twenty One Capital expanded its BTC holdings to approximately 43,500 BTC, valued at over $5.1 billion, emphasizing the institutional interest in Bitcoin as a robust asset. Meanwhile, Avalanche has made strides in tokenized finance with the infusion from Grove, which aims to provide institutional-grade credit strategies on-chain. Additionally, the SEC has updated its rules to allow in-kind redemptions for crypto ETFs, enhancing the cost-effectiveness of these investment products. This week’s developments indicate a burgeoning shift towards digital commodities and institutional adoption of cryptocurrencies, particularly Bitcoin and tokenized assets.

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