Kamino launches a Steakhouse-curated PAXG market enabling USDG loans collateralized by tokenized gold.
DeFi & Yields ·
Kamino has launched a market for PAXG, Paxos Gold, paired with USDG loans and curated by Steakhouse, enabling borrowers to access stablecoin credit collateralized by tokenized gold. The move reflects growing integration of on-chain gold assets into decentralized finance infrastructure, as platforms build yield mechanisms around precious-metal collateral layers.
Gold has emerged as a dual-purpose monetary asset in crypto markets — both a safe-haven benchmark against which Bitcoin is measured and an increasingly tokenized collateral primitive. Tokenized gold now functions as futures collateral and yield-bearing settlement across DeFi, with central banks historically driving demand by adding over 1,000 tonnes to reserves in both 2022 and 2023. The Kamino-Steakhouse integration targets traders seeking leverage and lending efficiency within this collateral ecosystem.
The extent to which USDG demand will scale alongside broader tokenized-gold adoption remains unclear, as does Steakhouse's specific role in market curation and risk management. Market depth, borrowing rates, and competitive positioning against other gold-backed lending protocols have not been disclosed.