Tether Gold Now Controls Half of the Entire Gold-Backed Token Market

Tether Gold (XAU₮) capped off 2025 by cementing its lead in one of the fastest-growing corners of the digital asset ecosystem, with the tokenized gold product now accounting for more than half of the entire gold-backed stablecoin market. 

A newly released attestation report shows XAU₮ surpassed $4 billion in market value as the flight to hard assets strengthened amid geopolitical fragmentation, monetary uncertainty, and record-breaking bullion prices.

The past year marked a turning point for on-chain commodities. The total market capitalization of gold-backed stablecoins expanded from roughly $1.3 billion to over $4 billion in 2025, driven by soaring demand for real-world asset (RWA) exposure that can be traded instantly on public blockchains. 

The surge coincided with spot gold breaking above $5,000 per ounce.

Gold price (Source: CoinCodex)

Within that boom, Tether Gold maintained a dominant share, commanding around 60% of all gold-backed tokens in circulation. 

The latest attestation from TG Commodities, S.A. de C.V.—a regulated stablecoin issuer and Digital Asset Service Provider under El Salvador’s Digital Asset Issuance Law—detailed the scale of the token’s growth.

Record Reserves and 1:1 Physical Backing

As of Dec, 31, 2025, TG Commodities confirmed the following key metrics:

• Total Physical Gold Reserves: 520,089.350 fine troy ounces

• Total XAU₮ Tokens in Circulation: 520,089.300 XAU₮

• Backing Ratio: 1:1 with physical gold

• Total Market Value: US$2.246 billion

• Tokens Sold: 409,217.64 XAU₮

• Tokens Available for Sale: 110,871.66 XAU₮

The physical gold reserves are fully vaulted in Switzerland and adhere to London Good Delivery standards mandated by the London Bullion Market Association (LBMA), ensuring that each token corresponds to institutional-grade bullion.

Tether Joins the Ranks of Major Sovereign Gold Holders

According to data cited from the IMF and a late-2025 Jefferies analysis, Tether’s aggregate gold exposure now places it among the top 30 gold holders in the world, surpassing national reserves held by Greece, Qatar, and Australia.

In the final quarter of 2025 alone, Tether Gold Investments, including Tether International Limited and TG Commodities Limited—added approximately 27 metric tons of gold, outpacing the purchases of most individual central banks during the same period. That pace reflects a growing trend of private entities stepping into roles historically dominated by sovereign monetary authorities.

Tether CEO Paolo Ardoino said that Tether Gold is now operating at a scale that places its investment fund alongside sovereign gold holders, and that carries real responsibility. 

“XAU₮ exists to remove ambiguity at a time when confidence in monetary systems is weakening. Every token represents physically held, vaulted gold that can be verified on-chain, and the market’s growth shows that investors increasingly expect tokenized assets to meet the same standards as national and institutional reserves.”