Global demand for gold as a reserve currency surged last year, driven by expanding holdings within the BRICS nations, particularly China and Russia, who seek to reduce their reliance on the US dollar. This trend has seen gold’s share of global reserves rise by 3% during the first quarter of 2025, reaching its highest level in over 30 years. The U.S. dollar’s share, meanwhile, declined by 2% in the same period to around 42%, marking a significant decline since the 1990s. Gold surpassed the Euro as the second-largest global reserve asset in 2024. This growth is fueled by digitalization, particularly within blockchain technology, which has seen tokenized gold trading volumes soar. According to CoinGecko data, this market currently sits at $2.59 billion with a daily average of $492 million in trading volume, primarily driven by Tether Gold (XAUT) and PAX Gold (PAXG). Why Bitcoin Could Follow in Gold’s Footsteps