Tether has announced that XAUT tokens are now backed by over 7.7 tons of physical gold. This update highlights the increasing interest in safe-haven assets amid economic uncertainty.
Gold Backing and Its Significance
According to the latest data, Tether Gold (XAUT) tokens are now backed by over 7.7 tons of gold, equivalent to 246,523.33 troy ounces stored in secure Swiss vaults. This substantial backing responds to growing demand for safe-haven assets during economic uncertainties. Tether's leadership, particularly Paolo Ardoino, plays a pivotal role in communicating these strategic developments.
Market Impact
The official Q1 2025 attestation from Tether confirms regulatory compliance. This gold backing enhances XAUT's credibility and can influence demand in both traditional and crypto markets. Additionally, with a backing of $770 million, Tether strengthens its position in the tokenized assets sector. The sustainable interest from investors in stability through tangible assets is becoming increasingly evident.
Future of Gold Tokens
Trends suggest that assets like gold-backed tokens may continue to gain popularity. Regulatory compliance adds extra value to such tokens and may promote liquidity in DeFi protocols. Paolo Ardoino highlighted this notion: "As of April 28, 2025, over 7.7 tons of gold, equivalent to 246,523.33 troy ounces, are securely backing the tokens... confirming that every token in circulation is fully backed by physical gold."
The backing of Tether Gold by physical gold emphasizes the importance of transparency in the tokenized asset market and meets the current demand for stable financial instruments.
