Binance Founder CZ Calls Tokenized Gold a ‘Trust Me Bro’ Asset

Binance co-founder and former CEO Changpeng Zhao (CZ) has shared his views on tokenized gold. He is calling it a “trust me bro” asset. His comments came after well-known gold advocate Peter Schiff revealed plans to launch a tokenized gold product. That lets users buy and trade gold through a mobile app.

CZ Questions the Concept of “On-Chain” Gold

In his post on X, CZ explained that tokenized gold isn’t truly “on-chain” gold. Instead, it represents a promise from a company or third party that the gold exists somewhere and can be redeemed later. He wrote that tokenizing gold means you’re trusting someone to deliver the gold in the future. Possibly decades later, even after management changes or in uncertain situations like war. CZ argued that this layer of trust makes tokenized gold no different from traditional financial systems. Where intermediaries control access and redemption. 

“Most people in crypto already understand this,” he said, “but those outside the industry might not realize that these tokens rely on trust, not blockchain transparency.” CZ’s post quickly drew attention from traders and crypto enthusiasts who agreed that tokenized gold is not the same as digital gold. Many pointed out that true blockchain-based assets, like Bitcoin, are designed to remove the need for trust altogether.

Peter Schiff Pushes for Gold on Blockchain

CZ’s comments came as Peter Schiff, a long-time critic of Bitcoin, simultaneously discussed plans to tokenize gold through his project Chip Gold. In a recent interview, specifically, Schiff said the goal is to make gold easier to use as a digital currency. He explained that users would be able to buy and store gold in a vault, and then be able to transfer ownership digitally or redeem it for physical gold. Ultimately, he believes this could combine the stability of gold with the convenience of blockchain.

Schiff argued that tokenized gold could do everything Bitcoin promised but failed to achieve. Acting as a store of value and medium of exchange. “You’ll be able to send and spend gold just like money,” he said. Hinting at debit cards and digital transfers linked to physical reserves.

Mixed Reactions from the Community

The debate sparked a lively response across social media. Some users sided with CZ, saying tokenized gold is just a digital IOU and not truly decentralized. “We’ve gone from ‘not your keys’ to ‘not your bars,’” one user joked. Another commenter pointed out that trust remains the biggest issue, writing, “People hype gold on-chain, but it’s really just a promise from someone else.” 

Others compared tokenized gold to Bitcoin ETFs or stablecoins. Arguing that even these rely on trust, but are still widely accepted. CZ’s remarks, though light-hearted, reflect a deeper skepticism about mixing traditional assets with blockchain. “This is why no gold-backed coins have really taken off,” he said.

Binance Expands Fiat Access

While sharing his thoughts on tokenized assets. CZ also reposted an announcement celebrating Binance’s new fiat expansion. The company has enabled direct USD deposits and withdrawals in over 70 countries through BPay Global, a licensed provider under the Binance Group. The update allows zero-fee USD deposits via SWIFT and supports cards, Apple Pay and Google Pay. 

That makes it easier for users to move between fiat and crypto. CZ called it another “big win” for Binance. It highlights how crypto platforms continue to improve real-world access. Even as debates about asset tokenization continue. As discussions about gold-backed tokens gain momentum. CZ’s message serves as a reminder: trust still matters, even in the digital age.