Why Investors Are Turning to XAUT: Market Analysis and Gold Forecast Through 2026

Gold has been a tremendous performer this year. During its 2025 rally, the golden terms has breached the $3,000 and $4,000 milestones for the archetypal clip successful history.

The precious metallic is up astir 60% since January 1, 2025.

Bitcoin, which galore reason is gold’s integer counterpart, hasn’t been doing truthful hot. In the aforesaid clip frame, the terms of the largest cryptocurrency declined by 5%.

In airy of this, it’s rather ironic that the precise exertion Bitcoin pioneered is present being utilized to marque concern vulnerability to golden much accessible than ever.

Gold-backed crypto tokens similar Tether Gold (XAUT) let anyone crossed the globe to instantly adhd golden to their portfolio (with immoderate caveats that we’ll explicate later).

XAUT is simply a gold-backed token issued by Tether, which besides issues the world’s largest stablecoin, USDT. Conceptually, XAUT is akin to the dollar-pegged stablecoins crypto investors are already intimately acquainted with. Each XAUT token successful circulation is backed by 1 good troy ounce of golden held by Tether.

XAUT is disposable arsenic an ERC-20 token connected the Ethereum blockchain, and tin beryllium bought connected a assortment of centralized exchanges and DEXes.

The tokens tin beryllium straight redeemed for carnal gold, but this is lone applicable for a tiny fig of investors successful practice. This is due to the fact that you request to person 1 golden bar’s worthy of XAUT tokens to redeem your tokens straight for carnal gold. Tether says clients who privation to redeem for carnal golden should deposit astatine slightest 430 XAUT ($1.8 cardinal astatine existent prices).

Tether launched XAUT successful 2020, soon aft Paxos launched PAXG successful September 2019. At the clip of writing, XAUT tokenizes astir $2.1 cardinal worthy of gold. The second-largest gold-backed token, PAXG, is not excessively acold down with a marketplace headdress of $1.4 billion.

It’s worthy highlighting that Tether is among the 30 largest golden holders successful the world, and owns astir 116 tons of the precious metal. However, lone a information of these reserves is being utilized to backmost XAUT, arsenic the magnitude of tokens successful circulation corresponds to astir 16.2 tons of golden (1,329 golden bars).

XAUT is 1 of the easiest ways to get vulnerability to golden arsenic an investment, particularly if you are already successful the crypto ecosystem. All you request is an Ethereum-compatible wallet with immoderate funds, and you tin bargain XAUT wrong seconds connected a DEX similar Uniswap.

When buying XAUT connected Uniswap, I had the aforesaid benignant of “aha moment” that I archetypal got erstwhile I conscionable got started with crypto. The realization that I conscionable added immoderate golden to my portfolio successful seconds without KYC oregon different tedious processes reminded maine that blockchain does so alteration immoderate precise chill things already, contempt the assemblage perpetually lamenting the deficiency of adoption.