PANews reports that the integration of decentralized finance (DeFi) is reshaping gold’s traditional status as a safe-haven asset, according to Kevin Rusher, founder of RAAC.
Historically considered a stable but low-yield investment, gold is gaining a new dimension of utility through blockchain-based financial innovations. Rusher notes that DeFi protocols now enable investors to tokenize physical gold and other real-world assets, unlocking opportunities for lending, staking, and other yield-generating strategies. This transformation is enhancing capital efficiency and broadening the appeal of gold within digital finance.
One emerging model involves gold mining firms issuing tokens backed by their reserves. These tokens can be exchanged for stablecoins and deployed across various DeFi platforms to earn returns—an approach that blends tangible asset security with the dynamic profit potential of decentralized markets.
Rusher also emphasizes the technological benefits blockchain brings to gold trading. With 24/7 access, real-time price discovery, and rapid transaction settlement, blockchain significantly improves the liquidity and flexibility of gold investments.
The convergence of gold’s intrinsic stability with DeFi’s innovative infrastructure, Rusher concludes, is forging a critical link between traditional finance and the digital asset economy.
