Blockchain-based finance firm Theo has launched a yield-bearing tokenised gold product, thGOLD, The Block reported on Jan. 17.
While existing tokenised gold simply tracks gold prices, thGOLD provides interest by making loans backed by physical gold.
thGOLD was developed in collaboration with Libeara and received support from Standard Chartered's venture arm. It was designed based on FundBridge Capital's MG999 on-chain gold fund and supports retailers such as Singapore's Mustafa Gold in taking out loans backed by gold. Investors can expect both gains from rising gold prices and loan interest income.
thGOLD is set to be traded and used as collateral on major DeFi platforms including Hyperliquid, Uniswap, Morpho and Pendle.
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Chi-gyu Hwang
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