Tether Gold Surpasses $4B in Gold-Backed Stablecoins

2026-01-27 20:46:09

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Tether Gold exceeded $4B in value by Dec 2025, capturing roughly 60% of the global gold-backed stablecoin market.
XAU₮ is fully backed 1:1 by over 520,000 troy ounces of physical gold stored in Swiss vaults and verified on-chain.
Tether now ranks among the top 30 global gold holders, reflecting growing demand for tokenized safe-haven assets.

Tether Gold (XAU₮) solidified its dominance in the gold-backed stablecoin market, surpassing $4 billion in value as of December 31, 2025. The token now accounts for roughly 60% of all gold-backed stablecoins. This milestone reflects rising demand for on-chain safe-haven assets amid record gold prices and global economic uncertainty.

Record Reserves and Market Metrics

According to TG Commodities, S.A. de C.V., Tether Gold holds 520,089.35 fine troy ounces of physical gold in Swiss vaults. Each XAU₮ token is backed 1:1 by gold, meeting London Good Delivery standards. Total tokens in circulation match the gold reserves, with 409,217.64 XAU₮ sold and 110,871.66 XAU₮ available for purchase.

The total market value of these holdings reached approximately $2.25 billion. The fund’s transparency includes daily on-chain verification of vaulted gold. This structure enables investors to directly link digital holdings to real-world assets while maintaining liquidity and portability.

Tether Among Top Global Gold Holders

Tether’s CEO, Paolo Ardoino, noted that the company now ranks among the top 30 global gold holders, surpassing nations including Greece, Qatar, and Australia. During Q4 2025 alone, Tether Gold Investments added approximately 27 metric tons of gold, exceeding most central bank purchases in the same period.

Ardoino emphasized that XAU₮ provides clarity during weakening confidence in monetary systems. Each token represents physically held, verifiable gold, supporting investor expectations for tokenized assets to match institutional and sovereign standards.

The surge in gold-backed stablecoins follows a broader trend toward real-world asset tokenization, accelerated by geopolitical fragmentation and record gold prices. Tether Gold’s 1:1 backing, regulatory compliance under El Salvador’s Digital Asset Issuance Law, and Swiss storage combine to define the current benchmark for responsible on-chain gold exposure.

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