Tether has joined hands with the TON Foundation to introduce XAUt0, a gold-backed stablecoin with omnichain features. This new token builds upon XAUt, Tether’s earlier gold token, which has over $832 million already in market circulation today.
Unlike XAUt, which only runs on Ethereum, XAUt0 will allow movement across different blockchains with more flexibility and ease. The token is built using LayerZero’s Omnichain Fungible Token (OFT) standard eliminates the need for wrapping or bridges.
This innovation helps users move their gold-backed assets easily between chains without delays, risks, or technical complications involved. Tether has placed XAUt0 first on The Open Network (TON), a growing blockchain originally created by Telegram developers.
This move supports Telegram’s huge user base, allowing peer-to-peer payments in gold-backed tokens through simple digital tools. It also increases the ability for users to use XAUt0 within TON’s decentralized finance (DeFi) ecosystem and trading platforms.
More blockchains will soon support Tether’s XAUt0
Users can trade, lend, or use the token in apps without leaving the TON environment, making DeFi access more convenient. Tether launched USDt on TON this past April, indicating that the company would further expand support on TON.
Each XAUt0 token still represents one troy ounce of gold stored in a secured Swiss vault, fully backed by assets. Tether verified that it holds 7.7 tons of gold as of Q1 2025, thus establishing itself as a reputable player in the tokenized commodities space.
Gold prices have risen nearly 30% this year, leading many investors to explore digital gold options like XAUt0 seriously. Tether now competes more closely with Paxos’s PAXG, which has about $811 million in gold-backed token market value today.
More blockchains will support XAUt0 soon, but Tether has not yet announced the full list of upcoming supported networks.
