Peter Schiff, vocal proponent of gold and a longtime critic of cryptocurrencies and bitcoin BTC, said he intends to launch his own gold-backed token while taking a dig at the value of U.S. dollar-pegged stablecoins.
“I get bitcoin, but not U.S. dollar stablecoins,” Schiff posted Friday on X. “If you’re going to introduce a third-party custodian, why settle for a token backed by a flawed fiat currency like the dollar, when you can own one backed by gold?”
In a reply to a user who encouraged him to launch a gold-backed stablecoin, Schiff confirmed: “They already exist. But I do intent [sic] to launch my own.”
His remarks come as the U.S. Senate passed the so-called GENIUS Act to regulate the rapidly growing stablecoin sector, a type of digital currency with prices anchored to an external asset such as fiat currencies. The stablecoin market mushroomed to over $260 billion, with Citi forecasting that it could become a $3.7 trillion asset class by the end of the decade.
These tokens have become a key piece of trading infrastructure and are increasingly popular for cross-border payments and remittances. The market is dominated by U.S. dollar-backed tokens like Tether’s USDT and Circle’s USDC.
Gold-backed tokens, meanwhile, make up a niche but growing segment with a market size of around $2 billion. Contrary to fiat-backed stablecoins, gold tokens are mostly used as a store of value, like their physical version, but on blockchain rails. However, there are ongoing efforts to bring more utility for gold tokens in decentralized finance applications, for example using as collateral for loans.
Read more: Stablecoin Protocol USDT0 Aims to Bring Tokenized Gold Closer to DeFi