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Tether says its tokenized-gold product, XAUT, was backed by more than 375,000 fine troy ounces—about 11.6 tons—at the end of Q3, as demand rose with gold’s rally. CoinDesk reported reserves on Oct. 28, noting market value above $2 billion and vault storage in Switzerland. Each token equals one troy ounce of London Good Delivery gold, according to the company.
Tether points to transparency updates and quarterly reports for XAUT. The issuer published reports listing bar counts and locations, saying reserves match circulating supply. The product is issued by TG Commodities under El Salvador’s digital asset framework, while pricing closely tracks spot gold. The company argues that tokenized bullion lets users hold gold exposure without arranging physical custody.
The growth of XAUT mirrors broader interest in real-world assets on-chain. Coverage by The Block noted attestation that XAUT is fully backed, with market value recently crossing $2 billion amid the metal’s climb. Analysts say tokenization can widen access and speed settlement while keeping ties to real assets, a theme now visible across funds, treasuries, and commodities.
“Tether Gold demonstrates that real-world assets can flourish on-chain without compromise,” said Paolo Ardoino, CEO of Tether, in recent remarks as he highlighted product momentum. He added that compliance with Good Delivery standards and clear reserve data are key to trust. The company says XAUT aims to serve both retail buyers and institutions that want instant transfer and 24/7 markets.
If demand holds, tokenized bullion could become a larger share of crypto’s RWA segment. CoinDesk (source) said XAUT’s market cap expanded further in October, helped by price gains and interest from emerging markets. For real-estate tokenization firms, the lesson is clear: verified reserves, simple redemption logic, and regular disclosures can pull traditional investors into on-chain products.
