Tether Gold (XAU₮) Maintains Its Position as the Highest Market-Cap, Most Secure, and Compliant Tokenized Gold Product

As of April 28, 2025, Tether Gold (XAU₮) maintains its position as the highest market-cap, most secure, and compliant tokenized gold product in the market.

As of April 28, 2025, Tether Gold (XAU₮) remains the highest market-cap, most secure, and compliant tokenized gold product in the world. Now also regulated in El Salvador, we are proud to publish the first official attestation for XAU₮ specifically under this new regulatory framework. Each XAU₮ token is backed 1:1 by one troy ounce of physical gold, stored in a dedicated vault at a world-class facility in Switzerland. The purchase of London Bullion Market Association (LBMA) gold bars—the global authority on precious metals—is subject to stringent controls, including rigorous counterparty selection, verification of gold bar certificates, and regular gold assays performed in the presence of auditors. The entire process of issuing XAU₮ is governed by strong procedural and legal frameworks.

Key Q1 2025 Highlights (as per the attestation date)

The strong growth of Tether Gold during Q1 2025 was driven by increasing global macroeconomic uncertainty, heightened geopolitical tensions, and a corresponding demand for inflation-resistant stores of value. A sustained surge in market cap was observed amid investor concerns over new international trade tariffs, further highlighting gold's role as a hedge in volatile market conditions. It is noteworthy that the quantity of inventory, as stated in the attestation, is of greater significance than the price, which is subject to fluctuations.

Moreover, Tether maintains close collaboration with U.S. and international law enforcement agencies on a daily basis to ensure the complete integrity and transparency of its operations.

Macro Gold Market Trends

Gold has seen a remarkable rally over the past two years, driven largely by sustained central bank accumulation, especially from BRICS nations as they diversify from U.S. dollar dependency.

Source: Gold Demand Trends: Full Year 2024, World Gold Council

This ongoing accumulation strategy underscores the strategic role of gold in both national and individual wealth preservation, particularly in emerging and developing economies.

Tether Gold: A Beacon In The Global Ocean Of UncertaintyAnd A Lifeline For Emerging Markets

While USD₮ is widely adopted across emerging markets as a trusted stablecoin, Tether Gold (XAU₮) serves a parallel need: providing users in these markets with access to tokenized physical gold that adheres to the same high standards of compliance, security, and transparency. In these regions, traditionally reliant on gold as a hedge against inflation and political instability, XAU₮ offers a cutting-edge digital solution.

In stark contrast to non-compliant gold token offerings, which carry regulatory and operational risks, XAU₮ provides complete legal certainty and is backed by physically held gold (not 'paper gold'), making it the premier choice for institutions, individuals, and platforms seeking stable exposure to gold through blockchain technology.

With central banks across the world—predominantly among the BRICS nations—amassing enormous quantities of gold reserves in the wake of the launch of a digital currency backed by gold to challenge U.S. dollar hegemony, the global monetary landscape couldn’t be more unpredictable.

For this reason, at Tether, we believe in the fundamental strategic importance of our tokenized gold product, XAU₮. It combines the enduring value of gold with the efficiency of digital assets, all while adhering to strong regulatory and law enforcement compliance requirements. XAU₮ provides a reliable alternative in a time of growing concern over the stability of fiat currencies.

Although Bitcoin is the optimal choice for the digital era and Tether is the company investing the most resources in Bitcoin education, most of the world's population is still learning about its unique value. This will be a time-consuming effort. However, XAU₮ is already familiar to many people—especially in regions where inflation and economic uncertainty are pressing issues. For those seeking stability, gold remains a trusted option. At the same time, we’re confident that awareness and understanding of Bitcoin will continue to grow with time, supported by our ongoing efforts and those of the broader industry.

“Tether Gold continues to demonstrate the strength and resilience of gold as a store of value, especially in times of economic uncertainty,” said Paolo Ardoino, CEO of Tether. “With XAU₮, we’re offering users the ability to access the security of physical gold in a digital form—secure, easily transferrable, and backed 1:1 by fully held gold reserves. It’s part of our broader commitment to building financial tools that combine the best of traditional assets with the efficiency of blockchain technology.”

For further details, please consult the latest XAU₮ attestation report here.