Tether Gold XAUT Raises Reserves, Market Cap Tops $2.1B
Tether Gold (XAUT) saw its physical gold reserves grow to 11.6 tonnes (375,000 oz) by end-Q3, stored in London Good Delivery–standard Swiss vaults. This boost under TG Commodities, regulated under El Salvador’s crypto law, supports a strict 1:1 peg. XAUT’s market cap climbed from $1.44B to over $2.1B by October amid inflation fears and geopolitical tensions. Token holders can redeem physical gold bars in Switzerland. Rival token PAX Gold (PAXG) trails at a $1.31B market cap. Institutional appetite rose as central banks added bullion to reserves. Additionally, Antalpha raised $150M to form Aurelion Inc., positioning Tether Gold as its Nasdaq-listed treasury asset. Growing retail demand in emerging markets underlines the appeal of tokenized gold as a transparent, blockchain-based safe-haven asset. Tether Gold’s success could spur broader asset tokenization and make digital gold more accessible to traders.
Bullish
The expansion of Tether Gold’s physical reserves and its market cap surge to over $2.1B signal growing confidence among institutions and retail traders. A strict 1:1 peg backed by audited London Good Delivery gold, combined with regulatory oversight in El Salvador and on-chain transparency, strengthens XAUT’s credibility. The entry of central banks and the Antalpha-led formation of Aurelion Inc. further legitimise tokenized gold. Short-term demand is boosted by inflation and geopolitical risks, while long-term prospects are underpinned by broader asset tokenization trends. These factors collectively point to bullish momentum for XAUT.