Tokenized Commodity Market Expands, Lending and Crude Oil Open New Tracks

The tokenized commodity market is shifting from gold dominance toward diversified applications, with lending and energy emerging as new tracks. Data shows the sector's market capitalization rose to $5.55 billion by the end of March 2026, up significantly from the start of the year, though nearly 90% of the increase still came from gold tokens.

To unlock the potential of physical assets, Paxos Labs launched PAXGy to support gold lending, and Theo issued thSLVR to pass through silver lease yields. Theo Chief Investment Officer Iggy Ioppe believes there is strong demand for productive collateral and predicts the total market cap of tokenized commodities will exceed $10 billion within a decade.

On the energy front, substantial progress is also underway: Energy Substantiation (EnSub) deployed WTI crude oil tokens to the Solana network on October 2, with natural gas and Brent tokens also in development. CEO JP Thieriot predicts that, once logistical hurdles are overcome, such tokens could capture up to a quarter of the oil market share in the future.

[TechFlow]