Tether’s Gold Reserves Surge to 11.6 Tons as XAUT Market Cap Tops $2B
Tether, the issuer of the world’s largest stablecoin USDT, has expanded its gold reserves to over 11.6 tons, backing its tokenized gold offering, Tether Gold (XAUT). The token’s market capitalization has now eclipsed $2 billion, underscoring growing investor appetite for digital representations of physical assets amid global economic uncertainty.
Each XAUt token is pegged 1:1 to a troy ounce of physical gold stored in Switzerland, with Tether’s reserves now exceeding 375,000 ounces. The milestone reflects a broader trend of investors turning to tokenized commodities as a hedge against volatility.
Demand has been particularly strong in emerging markets like Turkey, India, and Latin America, where access to traditional gold investment vehicles remains limited. "Tokenized gold eliminates storage and custodial hurdles," said Tether CEO Paolo Ardoino, highlighting the product’s appeal in regions with underdeveloped financial infrastructure.
