Global instability fuels a $2 billion surge in tokenized gold

Tether Gold (XAU₮), the top tokenized gold offering, surpassed a $2.2 billion market capitalization as of October 2025, fueled by record-breaking gold prices and increasing interest in real-world asset (RWA) tokenization, according to a

. This asset, which is entirely supported by physical gold reserves stored in Switzerland, now accounts for more than 7.66 metric tons of gold. Each token is directly linked to one fine troy ounce of gold, as detailed in a . This achievement highlights Tether’s growing presence in the RWA landscape, where blockchain-powered assets are increasingly viewed as a connection between conventional finance and the digital economy.

XAU₮’s growth comes amid a broader transformation in investor strategies, as central banks and major institutions look for alternatives to traditional currencies in response to inflation and global instability. Gold reached an unprecedented $4,125 per ounce in September 2025, a surge that has intensified interest in tokenized investment products.

CEO Paolo Ardoino highlighted the significance of the product, remarking, "Tether Gold demonstrates that real-world assets can flourish on-chain without compromise." The company’s gold holdings, which comply with London Good Delivery standards, have increased to 375,572.297 fine troy ounces, reinforcing the transparency and reliability of the token’s backing.

Tether’s achievements with XAU₮ are part of its broader ambition to lead both the stablecoin and RWA sectors. The company has recently revealed plans to introduce a U.S.-regulated stablecoin, USAT, in December 2025, aiming to reach 100 million users through platforms such as Rumble, as outlined in the Bitget analysis. This comes after a $775 million investment in Rumble, which

notes will soon offer and Tether-based tipping to its 51 million monthly users. The adoption of cryptocurrency payments by mainstream services underscores Tether’s efforts to comply with regulations like the U.S. GENIUS Act, which seeks to unify stablecoin standards, as referenced in a .

The trend of gold tokenization is also gaining momentum among individual investors, with XAU₮’s market value tripling from $700 million to $2.2 billion since January 2025, according to the Bitget analysis. This surge is linked to Tether’s collaborations with content platforms and its emphasis on supporting the creator economy. For example, Rumble’s upcoming Bitcoin tipping feature, developed with Tether, is anticipated to further boost digital asset adoption, as reported in a

. Ardoino mentioned that these projects are designed to "generate synergy and greater influence" by applying Tether’s technology across various sectors, a point also emphasized by the Bitcoinist coverage.

Despite recent fluctuations—gold’s market cap fell by nearly $2.5 trillion over two days in early October, according to a

—Tether Gold continues to attract both institutional and retail investors. The company’s expansion into RWAs reflects a wider movement in the industry, as asset managers and fintech companies turn to blockchain for asset management and liquidity solutions. With gold prices staying high and global interest in tokenized assets on the rise, Tether’s leadership in this arena is set to strengthen further in 2025.