Bitcoin News Today: Investors Now Earn Yield on Gold Stored in IRAs via Blockchain Innovation

SmartGold, a gold-backed individual retirement account (IRA) provider, has partnered with tokenization platform Chintai Nexus to tokenize $1.6 billion in gold held in U.S. IRAs, enabling investors to earn yield through decentralized finance (DeFi) protocols. The collaboration allows IRA-held gold to be represented on blockchain in a 1:1 ratio with physical bullion, which can then be used as collateral on DeFi lending platforms such as Morpho and Kamino. This liquidity can be reinvested in other yield-generating strategies while the physical gold remains stored in vaults and the tax-deferred status of the account is preserved. The initiative aims to address the challenge of balancing the stability of gold with the potential for income generation within retirement accounts, a trade-off previously constrained by IRS regulations [2].

The tokenization of gold through this initiative represents one of the largest deployments of tokenized gold to date and the first to specifically target U.S. retirement accounts. According to SmartGold Managing Director Aaron Haley, the move transforms a traditional safe-haven asset into a more productive wealth-building tool. The integration of gold into DeFi expands the asset’s utility beyond its traditional role as a hedge against economic uncertainty, opening new avenues for liquidity and yield [4]. With self-directed IRAs representing 2% to 5% of the $10.8 trillion in U.S. retirement savings, the initiative may have broader implications for the intersection of retirement investing and blockchain technology [3].

The tokenized gold market has seen growing interest in 2025, with total market value surpassing $2.5 billion. This growth is driven by increasing demand for real-world asset tokenization and the rise of alternative platforms offering gold-backed digital assets. Tether Gold, for example, reached $1.3 billion in value earlier this year. The expansion of tokenized gold reflects a broader shift in how traditional assets are being integrated into digital financial systems, offering investors new ways to manage risk and diversify their portfolios [3].

In parallel, the physical gold market has also experienced significant momentum. Comex gold futures hit a record high of $3,557 per troy ounce in recent weeks, reflecting a year-to-date gain of 34%. This rise has been attributed to geopolitical and political uncertainties, central bank purchases, and ongoing concerns about inflation and economic stability. The Federal Reserve’s potential rate cuts, as hinted at during the Jackson Hole symposium, have also contributed to the metal’s performance. Analysts suggest that the interplay between monetary policy and asset prices will remain a key factor in the gold market’s trajectory [3].

Bitcoin’s performance in recent weeks has also drawn attention as a potential “digital gold” alternative. The cryptocurrency rebounded above $112,000, prompting analysts to highlight short-term bullish momentum and the possibility of further gains, particularly if the U.S. jobs data signals a weaker labor market. This could support expectations for a Fed rate cut in September, historically a catalyst for risk-on assets. While Bitcoin is often compared to gold as a store of value, its volatility and speculative nature contrast with the more predictable price behavior of physical gold. As both assets navigate macroeconomic shifts, investors may continue to weigh their respective risk-return profiles [1].

Source:

[1] Bitcoin analysts see 'massive' move as BTC price regains $112k (https://cointelegraph.com/news/bitcoin-analysts-see-massive-move-btc-price-regains-112k)

[2] SmartGold, Chintai Tokenize $1.6B in IRA Gold, Add DeFi Yield for U.S. Investors (https://www.coindesk.com/business/2025/09/02/smartgold-chintai-tokenize-usd1-6b-in-ira-gold-add-defi-yield-for-u-s-investors)

[3] SmartGold, Chintai to Tokenize $1.6B in IRA Gold (https://cointelegraph.com/news/smartgold-chintai-ira-gold-tokenization)

[4] SmartGold, Chintai Tokenize $1.6B in IRA Gold, Add DeFi (https://finance.yahoo.com/news/smartgold-chintai-tokenize-1-6b-163846504.html)