Last night, Tether revealed the most recent reserve audit report for Tether Gold, their tokenized gold commodity. As per the report, Tether's total physical gold reserve as of September 30 of this year is 375,572.297 troy ounces, or around 11,681.6 kilos, or 11.68 tons. The London Bullion Market Association's acceptable delivery criteria are entirely met by this gold, which is kept in Swiss vaults.

There are 522,000 XAUT tokens in circulation. With the current price of gold at $3,910 an ounce, XAUT's market worth is more over $2 billion. With this milestone, the tokenized physical asset sector's gold section formally joins the "billion-dollar club." Tokenized gold is drawing a rush of sovereign wealth funds, family offices, and crypto-native funds as an emerging asset class with safe-haven properties, liquidity advantages, and income potential as the global central bank gold-buying frenzy heats up (the Bank of Korea recently announced it is considering additional gold purchases) and with expectations of a depreciating dollar strengthening.

XAUT has three advantages over traditional gold ETFs: first, it enables trading around-the-clock worldwide without requiring a brokerage account; second, it has a lower holding cost, with an annual management fee of just 0.15% (traditional gold ETFs typically charge 0.4% or more); and third, it enables physical redemption, allowing holders to exchange their tokens for physical gold bars at any time via the Tether platform (each XAUT is equivalent to one troy ounce of London gold). This distinguishes it as a genuine "digital gold" as opposed to merely a tool for tracking gold prices.