Tether Unveils Gold-Backed Loan Product Using XAUT

Tether and Ledn are teaming up to offer gold-backed loans using Tether Gold (XAUT). This new lending channel will take advantage of Tether's massive $23 billion physical gold reserve. The partnership will allow XAUT holders to use their holdings as collateral for loans instead of selling off the gold they own.

Ledn announced it will add XAUT to its platform alongside Bitcoin (BTC) and USDT, which is expected to go live before the end of 2026. According to Tether, each XAUT token represents one troy ounce of physical gold stored in Swiss vaults. This structure mirrors Ledn's handling of bitcoin-backed lending for the past few years.

Tether CEO Paolo Ardoino said, 'As digital assets become an increasingly important part of the global economy, demand is growing for solutions that combine long-term ownership with financial flexibility.'