Tether has launched XAUt, its gold-backed digital token, on BNB Chain, broadening the reach of tokenized gold in the crypto market. XAUt, which is designed to represent allocated physical gold custody, aims to provide investors with the flexibility to access bullion through blockchain platforms. Tether, established in 2014, is widely known for issuing USDT, the largest stablecoin, as well as XAUt, which has emerged as a leading tokenized gold product in recent years.
Tether’s XAUt Launch And Binance Trading Expansion
The launch of XAUt on BNB Chain coincided with Binance enabling spot trading for the asset across multiple pairs, including USDT, BTC, USDC, Turkish Lira, and U. Binance, one of the world’s largest crypto exchanges, moved to list XAUt on its main trading platform, offering users direct access to gold-backed digital assets.
BNB Chain is a major blockchain infrastructure developed by Binance. Recognized for supporting a wide range of digital assets, the chain aims to facilitate decentralized applications and tokenization at scale. The integration of XAUt extends the chain’s focus on real-world assets.
With the new support, crypto traders now have more immediate channels to acquire or swap XAUt within their existing portfolios. As of this launch, the token is backed by approximately 1,800 physical gold bars stored in secure Swiss vaults and maintains a market capitalization close to $3.2 billion.
Market Trends: Gold Volatility Spurs Token Demand
Gold prices have been especially volatile in recent months, fueling increased activity in gold-linked digital tokens. Spot gold reached an all-time high of $5,595 per ounce in January amid escalating geopolitical tensions but subsequently declined to around $4,450 by March 26. The price has experienced a drawdown of over 15% since late February, influenced by events such as armed conflict in the Middle East, rising oil prices, inflationary pressures, and a stronger US dollar.
These price dynamics have attracted attention from crypto trading platforms. Crypto.com, a global digital asset exchange, has expanded its gold product suite. Alongside spot trading in both XAUt and PAXG, the platform now provides tokenized gold perpetual contracts, offering traders additional options for leveraged exposure to gold price movements.
BNB Chain currently stands as the second-largest network for real-world asset (RWA) tokenization by on-chain asset value, according to data from RWA.xyz. Over the past month, the network has drawn new inflows and a larger base of holders, signaling growing interest in blockchain-based commodities like gold.
Paolo Ardoino, Chief Executive of Tether, framed the BNB Chain integration as a step to increase gold’s digital utility.
Ardoino emphasized that this launch is intended to make tokenized gold more accessible in digital markets and to broaden ways users can engage with gold on-chain.
