Tether Gold Achieves $770M Market Capitalization as Gold Prices Surge and El Salvador Regulations Take Effect
Tether’s gold-backed stablecoin, Tether Gold (XAUT), has reached a market capitalization of $770 million as of April 28, following the release of its first attestation under El Salvador’s newly implemented financial regulations.
In a tweet, Tether CEO Paolo Ardoino noted, “With central banks amassing massive gold reserves, XAUT is set to become the leading tokenized gold asset for both individuals and institutions.”
Each XAUT token is fully backed by 246,523.33 troy ounces—over 7.7 tons—of gold stored in a Swiss vault, according to Tether. Each token represents one ounce of LBMA-certified gold.
Tether emphasizes its commitment to transparency, citing strict controls, regular audits, and gold bar verification to maintain the reliability of the XAUT token.
This attestation comes amid a global surge in gold demand as investors look for stable stores of value amidst growing economic uncertainties and geopolitical tensions. In 2024 alone, central banks, particularly in BRICS countries, purchased over 1,044 metric tons of gold, according to the World Gold Council.
Gold prices have hit record levels in 2025, with the precious metal up 27% year-to-date, currently trading at $3,343 per ounce—more than double its value from November 2022.
Tether highlights that unlike other tokenized gold options, XAUT is backed by real, physical gold and is fully regulated, providing a safer alternative for those wary of “paper gold.”
