Tether Gold (XAUt) is a tokenized real-world asset (RWA) backed by physical gold. Each XAUt token represents ownership of an undivided specific interest in one fine troy ounce of gold held in a London Good Delivery gold bar. Tether Gold is issued by TG Commodities Limited and was launched in 2020.
Unlike cryptocurrencies whose value is determined primarily by crypto-market supply and demand, the XAUt price is linked to the value of its underlying gold. This gives users a way to hold, transfer, and exchange exposure to physical gold as a blockchain-based token.
XAUt is one example of a tokenized commodity. You can explore gold-backed tokens and other tokenized assets in the SwapSpace RWA Hub.
How does Tether Gold work?
When XAUt is issued, the corresponding physical gold is held in custody on behalf of token holders. Tether Gold allocates identifiable gold bars to the XAUt associated with each on-chain address. Token holders can use Tether Gold's official verification tools to check the gold bars associated with their address.
Because XAUt exists on public blockchains, it can be held in compatible crypto wallets and transferred between addresses without physically moving the underlying gold. Before sending or receiving XAUt, always check that the selected network is supported by both wallets or services involved.
What is XAUt used for?
XAUt combines characteristics of physical gold with blockchain-based ownership and transfers. Common Tether Gold use cases include:
- Gold exposure: hold a token backed by allocated physical gold without personally storing gold bars.
- Crypto trading: exchange XAUt for USDT, BTC, and other supported digital assets.
- Transfers: send tokenized gold between compatible blockchain wallets.
- Portfolio diversification: hold a gold-backed RWA alongside other crypto assets.
- DeFi: use XAUt with compatible decentralized applications where the token is supported.
On this page, you can swap XAUt for thousands of supported cryptocurrencies.
Is XAUt the same as USDT?
No. Although both are associated with Tether, XAUt and USDT represent different underlying assets. USDT is designed to track the US dollar, while XAUt represents an interest in physical gold. As a result, the Tether Gold price primarily follows gold rather than maintaining a 1:1 value with USD.
If you want to move between the two assets, you can swap XAUt to USDT or exchange USDT to XAUt and compare available provider offers.
XAUt vs PAXG: what's the difference?
XAUt and PAXG are both tokens backed by physical gold, but they have different issuers, custody arrangements, supported networks, and redemption terms. XAUt is issued by TG Commodities Limited, while PAXG is issued by Paxos Trust Company.
The better fit therefore depends on factors such as network support, liquidity, custody and redemption requirements rather than simply the gold price. See our detailed XAUt vs PAXG comparison to compare the two gold-backed tokens.
What does this mean when you swap XAUt?
XAUt gives crypto users a way to move between a gold-backed RWA and other digital assets without redeeming the token for physical gold. On SwapSpace, you can swap crypto for XAUt at the top rates by comparing offers from more than 45 providers and get exposure to physical gold on-chain.
