- Tether Gold (XAU₮) now fully backed by 7.66 tons of physical gold, reaffirming a 1:1 reserve.
- The gold is stored safely in Swiss vaults and follows strict global bullion standards.
- Investors now use XAU₮ to store value as the world moves away from unstable paper money.
Tether Gold (XAU₮) is now backed by more than 7.66 tons of physical gold as of the second quarter of 2025. The attestation confirms the growing role of tokenized gold as a reliable store of value amid global economic uncertainty and inflationary risk. As investors move toward hard assets, XAU₮ continues to attract interest from both retail and institutional players.
Tether disclosed that 246,524.330 XAU₮ tokens are currently in circulation. Each token is backed one-to-one by fine Troy ounces of gold. A total of 246,524.380 fine troy ounces of physical gold—equal to 7.66 metric tons—is stored in secure vaults in Switzerland. These holdings comply fully with London Good Delivery standards, a global platform for high-quality bullion storage.
Attestation Confirms Gold Held Under Global Standards
The Q2 2025 attestation was conducted by TG Commodities, S.A. de C.V., which is a registered stablecoin issuer and Digital Asset Service Provider under El Salvador’s Digital Asset Issuance Law. The audit confirms that every XAU₮ token is verifiably backed by physical gold in Swiss custody.
The report also gives details on key token metrics. Of the total supply, 186,879.510 tokens have been sold and funded, while 59,644.820 tokens remain available and unsold. The gold backing for sold tokens is valued at approximately $617.3 million, while the unsold token value equals around $197.0 million. This places the total XAU₮ market capitalization at $814.3 million.
On June 30, 2025, the price of gold was registered at $3,303.14 per troy ounce. The coverage ratio of reserves is 1:1 with complete coverage of assets pegged into each XAU₮ token. Tether maintains its reserves in Switzerland, which provides it with the regulatory and custodial credibility necessary to instill investor confidence.
Global Demand for Gold Surges as Macroeconomic Conditions Shift
The demand for gold-backed digital tokens like XAU₮ continues to rise amid shifting global economic trends. Central banks acquired over 1,040 metric tons of gold in 2024, a movement that has extended into 2025. This trend reflects a broader retreat from fiat volatility and an institutional pivot toward safe-haven assets.
Both institutional and retail investors are interested in products that are stable and have the functionality of blockchain. This setting has made XAU₮ promising, as it is easily convertible in the digital world, has ease of digital transport, has real-world value collateral in assets, and especially features a transparent reserve process.
In July 2025, Tether disclosed an investment of more than $13 billion in 120 business organizations, which were funded with the 2024 profits. This type of diversification enables a wider approach by Tether to scale operations without sacrificing the quality of reserves. That will be an indication of the scalability of Tether and the full transparency of its assets.
Related: Tether’s Diversification Strategy Emerges as Strategic Shield for USDt
Bridging Traditional Value with Blockchain Efficiency
Tether Gold allows investors to own and settle gold-backed value in real-time without subjecting themselves to the usual frictions like custody and settlement time lag. “Tether Gold represents the perfect synthesis of tradition and innovation,” said Paolo Ardoino, CEO of Tether. “With XAU₮, we’re offering individuals and institutions around the world the ability to hold, transfer, and store gold-backed value with complete assurance, no compromises on backing, compliance, or utility.”
Tether Gold blends familiarity with innovation. It addresses key disadvantages of physical ownership of gold, including storage dangers as well as territorial restrictions. Through blockchain technology, XAU₮ gives secure, fractional, and transferable ownership of gold.
With increasingly sophisticated global payment systems being formulated, XAU₮ is an extremely flexible asset. Not only can it be used as an inflation hedge, but as an active tool for modern investing techniques. Verifiable reserves and global accessibility position Tether’s XAU₮ token squarely between traditional finance and digital leadership.
