Tether Gold

Tether Gold (XAUT) is a digital claim on physical bullion, where each token corresponds to one troy fine ounce of gold resting on a specific, serial-identified bar held in a vault in Switzerland. Issued by TG Commodities within the Tether group, it exists as an ERC-20 on Ethereum and a TRC20 on TRON, so ownership can move between on-chain addresses with the speed of a token transfer while the underlying metal never leaves the vault.

How allocated bar backing works

The design is allocated rather than pooled: a holder is assigned interest in identifiable bars, and Tether publishes the ability to look up which bar backs a given position. Purchasers acquire and redeem through their Tether wallet, and the marketing emphasis is on zero custody fees, since Tether controls the storage directly instead of paying a third-party custodian. Physical redemption is possible but practical only at whole-bar scale, which pushes most users toward selling tokens for cash instead.

Price tracking gold and how XAUT compares to PAXG

Because XAUT is a wrapper, its price tracks the spot gold market, not a crypto narrative. There is no yield, no staking and no emissions; the token simply passes through the metal's performance minus the friction of buying and selling. Its closest rival is Paxos-issued PAXG, and the two differ mainly on issuer, jurisdiction and fee framing rather than on what they fundamentally represent.

The bull case and the issuer-trust question

The bull case is straightforward: gold that settles on-chain in seconds, can serve as DeFi collateral, and sidesteps the storage and dealer spreads of retail bullion. The bear case is entirely about trust in the issuer. Buyers inherit Tether's counterparty and disclosure profile, the quality and auditing of the vault, and the legal enforceability of their claim in a specific jurisdiction. A gold token is only as sound as the entity promising the bar exists and is unencumbered.

Who XAUT is for

Realistically XAUT suits holders who already want gold exposure and value on-chain mobility, plus crypto participants using it as a non-dollar, hard-asset hedge inside a portfolio. It is a savings and collateral instrument, not a growth bet, and none of this is investment advice.

1. 1. Choose an exchange. Pick a reputable exchange that lists XAUT — among the venues we rate highest are Binance, OKX and Kraken.
2. 2. Create & verify your account. Register, enable two-factor authentication, and complete identity verification (KYC).
3. 3. Deposit funds. Add money by bank transfer, card, or a stablecoin, depending on what the exchange supports in your region.
4. 4. Buy XAUT. Search for XAUT, choose a market or limit order, enter your amount, and confirm.
5. 5. Secure your coins. For long-term holdings, withdraw XAUT to a self-custody wallet you control rather than leaving it on the exchange.

Compare venues in our independent exchange ratings. This is not financial advice.