Tether Gold just flexed its muscles in the crypto arena, doubling its market value to $2.1 billion in the third quarter.
The stablecoin issuer confirmed every token is backed by real physical gold chilling in Swiss vaults, no digital smoke and mirrors here.
Gold-backed stablecoins
Analysts shared that roughly 522,089 XAUT tokens circulate like shiny coins in wallets, with another 139,751 tokens waiting in the wings, allocated but not yet unleashed.
This twinkle in token supply highlights an appetite for gold-backed stablecoins growing as fast as your favorite memecoin hype.
Paolo Ardoino, Tether’s CEO, cracked wise about the milestone, saying Tether Gold proves real-world assets can tango on the blockchain without faking the funk.
“With gold prices soaring and institutional interest climbing, XAUT is the future where physical security waltzes with digital freedom.”
$3.7 billion tokenized gold market
When you pile up Tether Gold and PAX Gold together, these blockchain behemoths command around 90% of the $3.7 billion tokenized gold market.
Analysts agree that XAUT isn’t just a flash in the crypto pan anymore, but it’s a heavyweight champion in the real-world asset token arena.
Yet, all that glitters might not stay gold forever. Wall Street’s wordsmiths call this the “debasement trade,” where gold and crypto become “assets of fear,” shielding investors from the scary realities of national debt and currency erosion.
The gold rally is over?
After months of a relentless rally driving gold to historic highs around $4,400 an ounce, the metal has lost steam, slipping back under $4,000.
Experts predict a lengthy “time out” for gold bullion and mining shares, maybe stretching well into 2026.
Signs flash warnings too, gold dipped below a key psychological floor last week, firing off sell signals in its daily momentum indicators.
Capital Economics warns this growth was partly fueled by fear of missing out, and a mini-bust is brewing.
Their crystal ball sees gold prices tumbling back to roughly $3,500 an ounce by 2026.
So, Tether Gold shines bright for now, but traders best keep one eye on the charts and another on the horizon. This glittering spree might just be warming up before the next drop.
Cryptocurrency and Web3 expert, founder of Kriptoworld
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With years of experience covering the blockchain space, András delivers insightful reporting on DeFi, tokenization, altcoins, and crypto regulations shaping the digital economy.
