How does Tether's gold token XAUT break through the historical highest price of gold

Less than a month into 2026, crypto investors are facing a core question: how to allocate assets to combat inflation, fiat currency depreciation, and exchange rate risks? The answer might be simpler than expected—focusing on a specific gold token.

According to the latest data, spot gold hit over 50 historical records in 2025, not only breaking market expectations of rising gold prices but also signaling the importance of gold allocation in the future. Amid this gold wave, the XAUT token issued by Tether is becoming the most feasible way for crypto communities to participate.

Why Is the Market Still Optimistic After the All-Time High of Gold?

Last September, spot gold prices hovered around $3,400–$3,500. Just three months later, gold prices surged past $4,550—an astonishing rally. Although there have been phased corrections recently, the market generally believes the upward logic for gold remains unchanged.

The official judgment of the World Gold Council provides a clear signal. The organization pointed out that although the precious metals market experienced short-term volatility in December, the long-term trend still supports continued strength in gold prices. Analysts believe that the upcoming tariff ruling by the U.S. Supreme Court could rewrite trade policies, potentially benefiting gold. Additionally, ongoing geopolitical conflicts (including recent U.S. actions in Venezuela) provide reasons for safe-haven capital to flow into gold.

Massive inflows of institutional funds have become the strongest driver of gold prices in 2025. Data shows that as gold hit new highs repeatedly, global investors poured unprecedented amounts into gold ETFs. North American funds contributed the majority of global inflows, Asian holdings even doubled, and European allocations also showed significant growth.

Looking at the full year, spot gold increased by up to 65% in 2025, setting over 50 new highs, with a peak of $4,549.96 per ounce. Meanwhile, silver surged even more—about 150% for the year. This simultaneous rise of precious metals reflects a deeper logic: under the backdrop of “de-dollarization,” the Federal Reserve’s rate cut cycle, and continuous gold purchases by central banks worldwide, gold has become the most dazzling asset of 2025.

Looking ahead to 2026, market institutions remain bullish. UBS recently revised its gold price forecast, raising the target for the first half and Q3 of 2026 to $5,000 per ounce (up from $4,500), with a slight correction expected by year-end to $4,800. This suggests that after reaching new all-time highs, gold still has about 10-15% room for further growth.

Why Choose XAUT? Four Advantages of Gold Tokens in Asset Allocation

After understanding the strong fundamentals of gold, the next question is: how should ordinary investors participate? Buying physical gold, gold ETFs, or choosing token solutions?

The first advantage comes from Tether’s financial strength and reserve transparency. As the world’s largest stablecoin issuer, Tether demonstrated significant real asset investments in 2025. Last Q3, the company purchased 26 tons of gold, bringing its total gold holdings to 116 tons, ranking among the top 30 global gold holders. Tether CEO Paolo Ardoino publicly stated that 15% of quarterly profits are regularly allocated to Bitcoin, ensuring strong backing for XAUT. Currently, XAUT’s market cap has reached around $2.3 billion, demonstrating ample liquidity.

The second advantage is the significantly lowered entry barrier. Tether recently launched a new valuation unit for Tether Gold (XAUT) called “Scudo,” which is a simple yet imaginative design. One Scudo is defined as one-thousandth of a troy ounce of gold, equivalent to one-thousandth of an XAUT, roughly $4.4. This innovation solves the trouble users face with trading small decimal amounts, making gold a truly practical asset in the digital age. In other words, users can now participate in gold allocation with just a few dollars, greatly reducing the entry threshold.

The third advantage is the convenience of trading and the possibility of leverage. According to Coingecko data, XAUT is listed on major CEX platforms like Bybit, OKX, Bitget, and also supports trading on DEX platforms such as Uniswap, Fluid, Curve. This means users can buy spot or use derivatives for leverage, satisfying different risk preferences.

The fourth advantage stems from Tether’s absolute dominance in the stablecoin sector. In 2025, global stablecoin trading volume surged 72% year-over-year to a record $33 trillion. Among them, Tether’s USDT trading volume reached $13.3 trillion, maintaining a core position in the stablecoin market. This scale of business ensures that derivatives like XAUT will gain further adoption and market recognition in 2026.

How Ordinary People Can Allocate Gold

For investors with limited liquidity and lower risk appetite, XAUT offers a unique value proposition. Compared to buying physical gold (which involves storage and insurance costs) or traditional gold ETFs (which require stock accounts and have higher trading fees), XAUT features:

Lower costs: No physical custody fees, trading fees comparable to other cryptocurrencies, and even lower on some DEXs.

Stronger liquidity: 24/7 trading, no market closing hours, can enter and exit anytime.

Lower entry threshold: Starting from just $4.4 per Scudo unit, suitable for small investments.

Flexible risk hedging: Can be used for long-term allocation or short-term hedging via derivatives.

Against the backdrop of the continuous depreciation of the USD against RMB and the global trend of central banks purchasing gold, the value of XAUT is gradually becoming more apparent. For investors seeking to hedge against inflation and depreciation with real assets, this could be a relatively feasible solution.

The appearance of the all-time high in gold prices is not the end, but a new beginning.