Tether dominates $4B gold-backed stablecoin market as gold tops $5100

Tether Gold (XAU†) has captured over half of the rapidly growing $4 billion tokenized gold market, with its market capitalization exceeding $2.2 billion, reflecting increased demand from both institutional and retail investors for onchain safe-haven assets. This surge coincides with gold prices nearing $5,100 per ounce, fueled by geopolitical uncertainty and reserve diversification needs. Tether Gold is backed one-to-one by physical gold reserves held in Switzerland, adhering to LBMA standards, totaling over 520,000 fine troy ounces as of late 2025. Furthermore, Tether's tokenization strategy has made it a major institutional gold accumulator, ranking among the top 30 global gold holders, surpassing several nations after adding approximately 27 metric tons in Q4 2025 alone.

(Source：Crypto Briefing)