Tether Launches Omnichain Gold Token XAUt0 on TON Blockchain

Tether, a leading stablecoin issuer, has announced a significant partnership with the TON Foundation to introduce an omnichain version of its gold stablecoin, XAUt (XAUT), on The Open Network (TON). This initiative aims to expand the token's presence across various blockchain ecosystems. The new token, named “XAUt0,” is built on LayerZero’s Omnichain Fungible Token standard, which allows for the seamless transfer of tokens between different blockchains without the need for wrapping or intermediary chains.

The original XAUt token, which is not omnichain, is currently the largest gold stablecoin by market capitalization, with over $832 million. It is closely followed by Paxos’s Pax Gold (PAXG), which has a market cap of $811 million. Notably, XAUt is currently available exclusively on the Ethereum blockchain. Tether has assured that the XAUT stablecoin is backed by over 7.7 tons of physical gold, according to the company’s Q1 2025 attestation report. Each XAUt token represents one troy ounce of gold, which is reportedly stored in a Swiss vault.

The launch of XAUt0 on TON mirrors Tether’s previous rollout of USDT0, a crosschain dollar-backed stablecoin deployed across Optimism’s Superchain. USDT0 is a bridged token of Tether’s USDt (USDT), the company’s dollar-backed stablecoin. Tether had previously deployed USDt onto the TON blockchain in April 2024. This strategic move aligns with Tether’s broader vision of expanding its stablecoin offerings across multiple blockchain networks, enhancing liquidity and accessibility for users.

Gold, traditionally seen as a safe-haven asset, has experienced significant price appreciation in 2025 due to economic uncertainty, particularly driven by ongoing global trade wars. The price of gold reached $3,304 per ounce on May 30, marking a $2,327 increase from a year ago, a 29.5% jump in 12 months. This surge in gold prices has also led to substantial gains in gold exchange-traded funds (ETFs), with the top eight funds by total assets experiencing increases of more than 25% year-to-date. Tether’s omnichain gold token, XAUt0, is poised to compete with these ETFs and other traditional gold investment instruments, offering a new avenue for investors to gain exposure to gold through blockchain technology.