What is XAUt (Tether Gold)?

XAUt (Tether Gold) is a Real-World Asset (RWA) tokenized digital currency issued by TG Commodities Limited, a subsidiary of Tether—the issuer of the world’s largest stablecoin (USDT).

Vastly different from highly volatile cryptocurrencies, XAUt’s core mission is to bring gold—a traditional safe-haven asset with thousands of years of history—onto the blockchain. Every single XAUt token in circulation is 100% backed by physical gold stored in secure, professional underground vaults in Switzerland on a 1:1 basis. This perfectly blends the asset rigidity of physical gold with the technological advantages of the blockchain, offering 24/7 availability and instant cross-border liquidity.

Core Features of XAUt

1. 100% Physical Gold Allocation & On-Chain Public Verification

XAUt is neither a fictional digital number nor a derivative contract that merely tracks gold prices:

• 1 XAUt = 1 Fine Troy Ounce of physical gold.
• The reserves consist entirely of premium gold bars that meet the "Good Delivery" standards of the London Bullion Market Association (LBMA).
• Unique Look-Up Service: Investors can enter their wallet addresses on the official Tether website to view the specific serial number, purity, and weight of the exact physical gold bar mapped to their tokens. This allocated asset binding provides unparalleled transparency.

2. Zero Ongoing Storage Fees

Traditional gold investments incur continuous carrying and storage costs, whether you buy physical gold bars (which bring theft risks and safety deposit box fees), bank gold passbooks, or traditional gold ETFs (such as GLD, which charges an annual management fee of around 0.4%). Conversely, XAUt charges absolutely no recurring holding, storage, or custody fees at the token level, making it a highly attractive vehicle for long-term gold investors.

3. Multi-Chain Availability & Ultra-Low Entry Barrier

XAUt is primarily issued on two major public blockchains: Ethereum (ERC-20) and TRON (TRC-20). While physical gold bars command hefty price tags, XAUt supports fractional transactions down to 6 decimal places (minimum purchase of 0.000001 ounces). This enables retail investors to seamlessly allocate assets into the international gold market with a very modest capital commitment.

Primary Uses of XAUt

• A "Safe Haven" in Crypto: When the cryptocurrency market (such as BTC and ETH) faces a severe crash or extreme volatility, investors do not need to rush to convert their assets back into fiat currency. Instead, they can swap directly into XAUt on-chain for immediate asset defense, serving as part of an inflation-hedging portfolio allocation.
• Web3 RWA Asset Allocation: This mechanism allows crypto-native users to diversify their portfolios into traditional physical "hard assets" without ever leaving the blockchain or opening traditional brokerage or banking accounts.
• Premium Collateral for DeFi: In various decentralized lending protocols, XAUt serves as high-quality collateral, enabling users to lock in liquidity and borrow stablecoins (such as USDT/USDC) while retaining their long-term bullish exposure to gold.