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BioSig Technologies and Streamex are set to revolutionize the tokenized gold market by merging and launching a gold-backed treasury business backed by $1.1 billion in growth financing.
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The companies aim to differentiate themselves from established players like Paxos Gold and Tether Gold by leveraging their balance sheet capital to seed liquidity and tokenize gold and gold-like assets directly.
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Henry McPhie, CEO of BioSig and co-founder of Streamex, emphasized to COINOTAG that their model focuses on origination, tokenization, secondary trading fees, and spread income, with plans to launch the first tokenized gold asset by early 2026.
BioSig and Streamex merge to launch a gold-backed treasury business with $1.1B funding, targeting tokenized gold market growth and innovative liquidity strategies.
Strategic Merger and Funding Propel Tokenized Gold Ambitions
The recent letter of intent signed by BioSig Technologies and Streamex marks a significant strategic move in the evolving tokenized commodities landscape. With a substantial $1.1 billion growth financing package—comprising $100 million in convertible debentures and a $1 billion equity line of credit—the merged entity is positioned to establish a robust gold-backed treasury business. This initiative underscores a growing trend where traditional finance intersects with blockchain technology to create tokenized financial instruments backed by tangible assets.
Despite BioSig’s share price experiencing a 27.4% decline following the announcement, the company’s stock remains up 541% over the past six months, signaling strong investor confidence in its pivot towards onchain commodities. By focusing on gold, the company enters a competitive market dominated by established tokenized gold products such as Paxos Gold (PAXG) and Tether Gold (XAUT), which collectively hold nearly $1.74 billion in market capitalization.
Innovative Approach to Tokenized Gold and Market Differentiation
Henry McPhie, CEO of BioSig Technologies and co-founder of Streamex, highlighted a distinctive approach that sets the new venture apart from existing players. Unlike Paxos and Tether, which primarily issue tokens backed by physical gold stored in vaults, BioSig and Streamex plan to utilize their balance sheet capital to directly purchase gold and gold-like assets. This strategy enables them to tokenize these assets internally and introduce them to the market, potentially enhancing liquidity and market depth.
McPhie outlined four revenue streams for the tokenized gold fund: origination fees, tokenization fees, secondary trading fees, and spread income. This diversified revenue model reflects a sophisticated understanding of the tokenized asset ecosystem and aims to maximize profitability while providing investors with innovative gold-related financial products. The company targets early 2026 for the launch of its first tokenized gold asset, signaling a clear timeline for market entry.
Tokenized Commodities: Emerging Yet Underrepresented Segment of RWA Market
Real-world asset (RWA) tokenization continues to gain traction in 2025, bridging traditional finance and digital assets. However, tokenized commodities remain a relatively small segment within this expanding market. According to data from RWA.xyz, the total market capitalization of tokenized commodities stands at $1.62 billion, representing only 6.6% of the broader $24.5 billion tokenization market.
The dominance of Paxos Gold and Tether Gold is pronounced, accounting for 98.9% of the tokenized commodities market value. Among the eight precious metal RWA products tracked by RWA.xyz, gold-related tokens constitute the majority, with silver and platinum products making up the remainder. This concentration highlights both the opportunity and challenge for new entrants like BioSig and Streamex to capture market share.
Market Outlook and Industry Implications
Industry projections from Statista estimate the general commodities market to reach a staggering $142.9 trillion in 2025, underscoring the vast potential for tokenized commodities to scale. As traditional finance institutions increasingly explore Ethereum Layer 2 solutions to tokenize trillions in RWAs, the integration of tokenized gold products could serve as a critical bridge for wider adoption.
BioSig and Streamex’s entry into this space reflects a broader industry movement toward regulated, transparent, and liquid tokenized assets. Their approach, combining significant capital backing with innovative tokenization strategies, may influence how tokenized commodities evolve and compete with established digital gold offerings.
Conclusion
The merger of BioSig Technologies and Streamex, supported by $1.1 billion in growth financing, represents a pivotal development in the tokenized gold sector. By leveraging balance sheet capital to seed liquidity and tokenize gold assets, the new entity aims to carve out a unique position within a market currently dominated by Paxos Gold and Tether Gold. While tokenized commodities remain a modest portion of the broader RWA market, the strategic initiatives and clear timeline for product launch position BioSig and Streamex as noteworthy contenders in the evolving landscape of onchain commodities.
