# PAXGy Goes Live as Collateral on Aave V4’s Global Dollar Hub By Simon Yoon Canonical URL: https://www.tokenpost.com/news/technology/54373 Published: 2026-11-11T19:38:09.000Z Updated: 2026-11-11T19:38:09.000Z Section: Technology > Users can borrow USDG or Pax Gold (PAXG) against the gold-linked token. Its exchange rate against PAXG is not guaranteed to rise. PAXGy is now available as collateral in Aave V4’s Global Dollar Hub, where users can borrow USDG or Pax Gold (PAXG) against the token, adding a lending use for Paxos Labs’ gold-linked asset. Paxos Labs launched PAXGy in September with a [gold-leasing model]() designed to increase the amount of PAXG represented by each token over time while a holder’s token balance stays constant. That increase is not guaranteed. Borrower defaults or other lending losses can lower PAXGy’s exchange rate against PAXG, while changes in gold prices affect its dollar value. ## Links in this article - [gold-leasing model](https://www.tokenpost.com/news/business/24339)