Tether Expands Tokenized Gold Reserves to Over 11.6 Tons During Third-Quarter Rally

CoinDesk / Bloomberg Style (Professional & Analytical)

Tether’s Tokenized Gold Reserves Jump Past 11.6 Tons as XAUT Market Cap Tops $2B
29/10/2025

Tether, issuer of the world’s largest stablecoin USDT, has expanded its gold-backed reserves to more than 11.6 tons, with its tokenized gold offering XAUT now exceeding $2 billion in market capitalization.

The company said XAUT, issued by TG Commodities under El Salvador’s digital asset framework, is fully backed 1:1 by a fine troy ounce of gold stored in Swiss vaults. As of September 30, that totaled 375,000 ounces, equivalent to roughly 11.6 tons of bullion.

XAUT’s market value surged from $1.4 billion in Q3 to $2.1 billion in October, tracking record highs in gold prices driven by inflationary pressures, geopolitical instability, and rising demand from central banks.

Tether CEO Paolo Ardoino said in an interview that much of the recent demand has come from retail investors in emerging markets, who see tokenized gold as a convenient hedge against volatility and inflation.

“XAUT bridges traditional gold investment and digital accessibility,” Ardoino said. “It lets investors hold gold exposure directly on-chain without custody headaches or high barriers to entry.”

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