Buying gold through an app does not by itself identify what the buyer owns. The transaction may involve stored metal, a fund share, a gold-linked token or another contract. These forms differ in rights, costs and risks.
Physical holdings
Direct ownership requires attention to authenticity, weight, purity and safekeeping. Where another party stores the metal, custody terms and evidence of ownership also matter.
Shares and tokens
A gold-fund share is not necessarily a blockchain token, nor does it automatically give every holder unrestricted access to physical bars. Token units also differ. PAXG’s terms link one token to one fine troy ounce, for example; a universal “one token equals one gram” description would be inaccurate.
Costs
Digital access does not mean zero cost. GLD states that its performance reflects expenses. Other structures may involve conversion or transaction charges even when no separate storage charge applies.
Trading and redemption
The ability to transfer a token is different from issuer dealing hours, market liquidity and physical redemption. Each service’s terms should be examined separately.
Editorial correction
This version removes blanket claims of continuous trading, zero costs and identical ownership rights. Product names illustrate differences and are not recommendations.
Sources: GLD product documentation; PAXG terms, fees and dealing information.
Sources: www.ssga.com · www.paxos.com · support.paxos.com · support.paxos.com
Editorial update: revised text and clarified documentation limits. 2026-10-31
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