The discussion was initiated by SandMan529 who proposed the idea of introducing a gold-backed coin on AAVE, with PAXG being a potential option¹. This idea was well received by other community members, including Toad who noted that there is an ongoing discussion about the inclusion of commodity-backed tokens on AAVE, including tokenised gold². He suggested that these could serve as useful forms of collateral for AAVE users, despite the controversy surrounding them.

In addition to PAXG, Toad also brought up the possibility of considering other assets like sXAU, sXAG, or even a commodities-specific money market where PAXG, XAUT, and others could be considered². This idea was further expanded by Cache.gold who proposed the addition of CACHE Gold (CGT) to the discussion³.

In conclusion, the community seems open to the idea of introducing gold-backed coins on AAVE. The discussion has broadened to include various other commodity-backed tokens and the potential for a commodities-specific money market. However, it's important to note that these proposals are still under discussion and no final decision has been made yet.