Tether launches $832 million omnichain gold stablecoin on TON

Tether (CRYPTO:USDT) has introduced an omnichain version of its gold-backed stablecoin XAUT (CRYPTO:XAUT) on The Open Network (TON) blockchain.

The new token, named XAUt0, is built using LayerZero’s (CRYPTO:ZRO) Omnichain Fungible Token standard, enabling seamless transfers across multiple blockchains without the need for wrapping or intermediary chains.

The original XAUT token, available only on Ethereum (CRYPTO:ETH), holds a market capitalisation exceeding $832 million, making it the largest gold stablecoin by market cap as of June 2, 2025, according to CoinGecko.

It closely competes with Paxos’s Pax Gold (CRYPTO:PAXG), which has a market cap of $811 million.

Each XAUT token represents one troy ounce of physical gold stored in a Swiss vault, with Tether holding over 7.7 tons of gold backing the stablecoin, based on the company’s Q1 2025 attestation report.

XAUT0 follows the model of Tether’s USDT0 (CRYPTO:USDT0), a crosschain dollar-backed stablecoin deployed across multiple blockchains within Optimism’s (CRYPTO:OP) Superchain ecosystem.

Tether also launched its USDT stablecoin on the TON blockchain in April 2024.

Gold prices have risen sharply in 2025 due to economic uncertainty and ongoing global trade tensions, reaching $3,304 per ounce on May 30 — a 29.5% increase compared to the previous year.

Gold exchange-traded funds (ETFs) have also seen gains exceeding 25% year-to-date among the top eight funds by assets, according to VettaFi data.

XAUT0 aims to compete with traditional gold investment instruments, including ETFs, by offering a blockchain-native, omnichain option for gold exposure.

This launch reflects Tether’s efforts to expand its stablecoin offerings across ecosystems and provide more flexible options for investors seeking gold-backed digital assets.

The omnichain design could enhance liquidity and usability by enabling transfers without the delays or costs associated with bridging tokens.

At the time of reporting, the Tether (USDT) price was $1.00.