Tether's gold reserves climb 59% as XAU₮ backing hits record high

Tether says its gold reserves have grown 59% since the start of the year, per Cointelegraph, pushing the backing behind its tokenized gold product XAU₮ to a record level.

That's the headline number: a 59% jump in the stash of physical gold sitting behind the token. The new high in backing marks one of the sharpest expansions Tether has reported for its gold holdings.

XAU₮, also known as Tether Gold, is the company's gold-backed token — each unit designed to track a claim on physical bullion. Tether is best known as the issuer of USDT, the largest stablecoin by market value, but it also runs a stable of other assets including gold.

The disclosure lands as gold has drawn heavy attention from crypto traders looking for something outside the usual token swings. Tether is framing the reserves figure as proof that the metal behind XAU₮ keeps pace with the token in circulation.

Tether didn't offer a breakdown of the dollar value of the holdings in the post. What's clear is the direction: reserves up sharply, backing at a new peak, according to the company.