Toncoin TON Integrates Tether’s Gold-Backed Stablecoin XAUt0 with Cross-Chain Upgrade

Tether has expanded its gold-backed stablecoin offerings by launching XAUt0 on The Open Network (TON) using LayerZero’s omnichain technology. This upgrade enables seamless cross-chain transfers without the need for bridges or wrapped tokens. Each XAUt0 token is backed by one troy ounce of physical gold stored in Swiss vaults, with Tether maintaining 7.7 tons of gold reserves as of Q1 2025.

Developed in collaboration with the TON Foundation, this initiative aims to leverage Telegram’s extensive user base for decentralized finance and gold-based transactions. The MOVE follows Tether’s earlier introduction of USDT on TON in April. With gold prices approaching record highs amid global economic uncertainty, demand for digital gold exposure has surged significantly.

XAUt0 enters a competitive digital gold market where Tether’s existing XAUt ($832M market cap) currently leads Paxos’ PAXG ($811M) by a narrow margin. TON serves as the first blockchain platform for XAUt0, with plans for broader adoption as the omnichain functionality continues to expand across networks.