Tether has announced its collaboration with the TON Foundation to unveil XAUt0, an omnichain gold stablecoin built on LayerZero’s Omnichain Fungible Token standard. This new token allows seamless transfers across blockchains without the need for wrapping or middlechains. Currently, the original XAUt version is the largest gold stablecoin by market capitalization, boasting over $832 million, as reported by CoinGecko. Besides XAUt, the second-largest gold stablecoin, Paxos’s Pax Gold, has a market cap of $811 million as of early June.
According to Tether’s Q1 2025 attestation report, their XAUt stablecoin is backed by physical gold reserves totaling more than 7.7 tons stored in a Swiss vault, with each token representing one troy ounce of gold. The introduction of XAUt0 closely follows Tether's strategy with USDT0, a crosschain dollar-backed stablecoin launched across eight blockchains in Optimism’s Superchain. In April 2024, Tether also deployed its USDt onto the TON blockchain.
Gold's price has surged amidst economic uncertainty, reaching $3,304 per ounce by late May, marking a 29.5% increase year-over-year. The popularity of gold ETFs has also risen, with the top eight funds witnessing gains over 25% this year. Tether’s omnichain gold token is poised to compete directly with these investment vehicles and traditional gold assets.
According to Tether’s Q1 2025 attestation report, their XAUt stablecoin is backed by physical gold reserves totaling more than 7.7 tons stored in a Swiss vault, with each token representing one troy ounce of gold. The introduction of XAUt0 closely follows Tether's strategy with USDT0, a crosschain dollar-backed stablecoin launched across eight blockchains in Optimism’s Superchain. In April 2024, Tether also deployed its USDt onto the TON blockchain.
Gold's price has surged amidst economic uncertainty, reaching $3,304 per ounce by late May, marking a 29.5% increase year-over-year. The popularity of gold ETFs has also risen, with the top eight funds witnessing gains over 25% this year. Tether’s omnichain gold token is poised to compete directly with these investment vehicles and traditional gold assets.
