Crypto whales buy over $7 million in tokenized Gold as Bitcoin fluctuates around $66,000

Several large-sized crypto wallets moved more than $7 million into physical gold-backed assets over the past hours, according to on-chain data shared by @lookonchain. The transactions involved tokens like PAXG (Pax Gold) and XAUT (Tether Gold), both backed one-to-one by troy ounces of physical gold held in custody and subject to audits.

One wallet withdrew 986 PAXG — valued at approximately $5 million — directly from Binance. Another spent 2.42 million USDT to acquire 478 XAUT at a price around $5,065 per ounce. A third wallet, dormant for eight months, returned to invest 1.85 million USDC in a combination of XAUT and PAXG.

The diversification across issuers — Paxos and Tether — suggests more than simple gold exposure. Buyers appear concerned about custody or counterparty risks, distributing their positions across different providers rather than concentrating holdings with a single issuer.

Physical gold broke records recently and trades around $5,070 to $5,100 per ounce in February 2026. Central banks have purchased gold massively, inflation fears persist, geopolitical tensions remain elevated, and the dollar shows signs of long-term weakness. Meanwhile, Bitcoin fluctuates between $66,000 and $70,000, with episodes of volatility and corrections generating a clear shift toward lower-risk assets within the crypto sector.

The whales are not abandoning crypto entirely, they rotate part of their gains toward an asset offering stability without leaving blockchain infrastructure. PAXG and XAUT combine features attractive to high-volume holders: direct exposure to physical gold, liquidity available 24/7, instant transfers, and the ability to use the tokens as collateral on DeFi platforms.