Tether Stores 7.7 Tons of Gold in Switzerland to Back XAUT
Date: 2025-04-29 Author: Gabriel Deangelo Categories: BUSINESS
Tether has released its first report on the reserves of its Tether Gold (XAUT) token, confirming that each XAUT is backed by one troy ounce of gold. The collateral is 7.7 tons of London Bullion Market Association (LBMA) gold bullion, which is stored in a secure vault in Switzerland.
XAUT currently has a market cap of approximately $800 million, making it the largest stablecoin pegged to gold. However, the company emphasizes that the key parameter for valuation is not the market price, but the actual volume of gold backing.
Just as the USDT token is pegged to the US dollar, XAUT follows the price of gold. Tether noted that the report, which covers the first quarter of 2025, was published in accordance with the laws of El Salvador, where XAUT is now regulated. This is the first time the company has officially disclosed such data.
In April, the price of XAUT reached a record high of $3,423, reflecting the growth of its underlying asset, gold. The report noted that factors such as rising global tensions, economic instability, and increased investor interest in assets that are resistant to inflation were the reasons for this.
Tether also highlighted the active increase in gold reserves by central banks over the past two years, especially in the BRICS countries. These countries are looking to reduce their dependence on the dollar and diversify their assets by increasing their gold reserves. This approach highlights the importance of gold as a reliable tool for protecting national and personal wealth.
In the document, Tether cites statistics from the World Gold Council, according to which there were 37,755 tons of gold in the world by the end of 2024, of which more than a thousand tons were purchased by central banks in the last year alone.
Tether CEO Paolo Ardoino said that XAUT proves the resilience of gold as a store of value, especially in an unstable global economy.
According to Coinmarketcap, the market capitalization of all gold stablecoins on the market reaches $1.7 billion. At the same time, the daily trading volume of the XAUT token was $24 million, while its closest competitor, PAX Gold (PAXG) from Paxos, demonstrated a volume of $56 million.
