Tokenised gold has moved from a niche crypto product to an increasingly popular way to hold gold exposure, with PAX Gold (PAXG) and Tether Gold (XAUT) now among the most widely held gold-backed tokens on the market. BullionStar now accepts both directly as payment for physical gold, silver and platinum — a straightforward way to put holdings you already own on-chain toward metal in hand or in vault storage in Singapore.
For token holders, this closes a gap that’s traditionally been awkward. Converting PAXG or XAUT into physical metal has usually meant a manual redemption process with the issuer, a very high minimum threshold, or selling to fiat first. None of which is why most people hold these tokens in the first place. Now you can pay for a physical order directly at checkout, the same way BullionStar already accepts Bitcoin, Bitcoin Cash, Ethereum and Litecoin.
This page explains what PAXG and XAUT are, confirms exactly what you can buy with them, walks through how payment works at checkout, and compares the two tokens if you’re deciding which one to use.
What Are PAXG and XAUT?
PAX Gold (PAXG) and Tether Gold (XAUT) are both blockchain-based tokens backed by physical gold held in a vault. Each token represents a fixed quantity of metal, one fine troy ounce, in both cases. Token holders have a contractual claim on the underlying gold, verified against the custodian’s vault records.
- PAXG is issued by Paxos Trust Company, a trust company regulated by the U.S. Office of the Comptroller of the Currency (OCC). Each token represents one troy ounce of gold held in LBMA-accredited vaults in London.
- XAUT is issued by Tether. Each token is allocated to a specific gold bar held in Swiss vaults, also representing one troy ounce.
Both are among the most established tokenised gold products on the market, and both can now be used to pay for physical gold, silver and platinum directly at BullionStar.
Can I Buy Gold or Silver with PAXG or XAUT?
Yes. BullionStar accepts both PAXG and XAUT as payment methods for gold, silver and platinum, in the same way it has long accepted Bitcoin, Bitcoin Cash, Ethereum and Litecoin. Select PAXG or XAUT as your payment method at checkout, and your order is settled directly in the token. There is no need to convert to fiat first, and no separate redemption step with Paxos or Tether.
This applies across BullionStar’s full range: gold bars and coins, silver bars, coins and rounds, and platinum bars and coins, as well as the Bullion Savings Program for investors who want to start from a smaller gram amount. Metal bought this way can be stored in BullionStar’s allocated vault, shipped to you, or collected in person at the Bullion Center, the same delivery and storage options available with any other payment method.
How Does Paying with PAXG or XAUT Work?
Paying with PAXG or XAUT follows the same process as any other cryptocurrency payment at BullionStar. Select PAXG or XAUT from the currency dropdown at checkout, and your order total will be shown in the token. Once you place your order, you’ll receive a unique payment address on the confirmation page and by email, to which you send your payment within the standard payment window. Your order is confirmed once the required number of network confirmations has been received, and you’ll get a confirmation email and SMS automatically.
For the full step-by-step walkthrough see BullionStar’s crypto payment methods guide.
PAXG vs XAUT: Which Should You Use to Buy Gold?
If you hold both, the more relevant question isn’t “which token is better” so much as “which is more practical for the purchase you’re making.” The table below summarises where PAXG and XAUT differ.
| Factor | PAXG (Pax Gold) | XAUT (Tether Gold) |
|---|---|---|
| Issuer | Paxos Trust Company | Tether |
| Regulator | Office of the Comptroller of the Currency (OCC) | Limited formal regulatory oversight |
| Backing | 1 fine troy oz per token, LBMA-accredited vaults in London | 1 troy oz per token, allocated to a specific bar, Swiss vaults |
| Network | Ethereum (ERC-20) | Ethereum (ERC-20) and TRON (TRC-20) |
| Ongoing custody fee | None | None |
| Other fees | Tiered creation/redemption fees; zero on-chain transfer fees | ~0.25% handling fee on direct purchase/redemption (50 XAUT min buy, 430 XAUT min redeem) |
| Physical bar redemption | Requires ~430 troy oz (1 Good Delivery bar); delivered to UK vaults only. Below that, redeemable for USD at market price anytime | Requires 430 XAUT (1 bar); delivery limited to Switzerland, or cash out to USD via Tether |
Neither token charges an ongoing custody or storage fee; the more relevant cost difference sits in one-time creation and redemption fees rather than an annual charge. Paxos also operates under a more established regulatory footprint, chartered and regulated by the U.S. Office of the Comptroller of the Currency (OCC), with monthly attestation reports on the gold backing PAXG. XAUT’s network flexibility across TRON as well as Ethereum can mean lower transaction fees for some holders, depending on network conditions.
Converting PAXG and XAUT to Physical Gold
Both also share a practical limitation worth knowing about: redeeming either token for an actual physical bar requires holding roughly 430 troy ounces (a full London or Swiss Good Delivery bar) well out of reach for most retail holders. Below that threshold, the only redemption route through the issuer is cashing out to USD at the market gold price, not physical metal.
That’s exactly what makes paying with PAXG or XAUT directly at BullionStar the more practical route: both convert into the same LBMA-accredited, allocated bullion at checkout, with no need to clear the issuer’s own redemption threshold first. In practice, the token you use to pay is simply whichever one you already hold.
Frequently Asked Questions
Can I buy gold with PAXG or XAUT?
Yes. BullionStar accepts both PAXG and XAUT as payment for physical gold, silver and platinum products.
Is paying with PAXG or XAUT the same as redeeming it for physical gold?
No, you’re using the token directly as payment at checkout. You don’t need to redeem it through Paxos or Tether first.
Do I need to convert PAXG or XAUT to fiat before I can pay?
No. PAXG and XAUT can be sent directly as payment, the same way BullionStar already accepts Bitcoin, Bitcoin Cash, Ethereum and Litecoin.
Is there a minimum or maximum order size when paying with PAXG or XAUT?
The minimum buy and sell amount for PAXG and XAUT is the equivalent of SGD 250. The maximum amount per order for buying and selling is currently the equivalent of SGD 1,000,000.
Buy Gold and Silver with PAXG or XAUT at BullionStar
BullionStar is among the first bullion dealers to accept PAXG and XAUT directly for physical gold, silver and platinum, with no need to redeem through the issuer or convert to fiat first. Whichever token you hold, it converts straight into real, allocated metal: stored in BullionStar’s audited vault in Singapore, shipped to you, or collected in person at the Bullion Center.
Ready to buy? Browse our gold and silver, or head straight to checkout and select PAXG or XAUT as your payment method. For the full step-by-step process, see the crypto payment methods guide.
