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Tether Gold Recognised As Accepted Commodity In Abu Dhabi Financial Centre

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Tether Gold Recognised As Accepted Commodity In Abu Dhabi Financial Centre
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Tether Gold (XAUT) has been recognised as an Accepted Spot Commodity in Abu Dhabi Global Market (ADGM), allowing regulated firms operating within the international financial centre to offer services related to the tokenized gold asset.

The recognition expands Tether’s regulated product lineup in Abu Dhabi following the earlier approval of its USDT stablecoin. The move is expected to strengthen the use of tokenized gold in regulated financial services while highlighting the growing adoption of real-world asset (RWA) tokenization across the Middle East.

Under the new designation, companies licensed by ADGM can provide services involving Tether Gold, provided they hold the necessary regulatory approvals. The recognition offers financial institutions greater clarity when offering products linked to tokenized gold within one of the region’s leading financial hubs.

The development follows ADGM’s earlier decision to recognise Tether’s USDt (USDT) as an Accepted Fiat Referenced Token. Together, the two approvals expand the range of digital assets that regulated firms can use within the financial centre.

Tether CEO Paolo Ardoino welcomed the decision, saying it provides a clearer regulatory pathway for businesses looking to offer services based on XAUT. ADGM also said the move would support innovation by expanding the range of products available to companies operating in its jurisdiction.

Demand for tokenized gold has been rising steadily over the past year. According to DefiLlama data, Tether Gold’s total value locked (TVL) has grown from around $826 million to approximately $2.86 billion, reflecting increasing investor interest in blockchain-based gold ownership.

The token is also finding practical uses beyond trading. Earlier this year, Bitcoin lending platform Ledn announced plans to accept XAUT as collateral for loans, enabling customers to borrow against their tokenized gold holdings without selling the underlying asset.

Growth is also being seen across the wider tokenized commodities market. Data from RWA.xyz shows tokenized commodities now represent about $4.46 billion in distributed value, accounting for nearly 13% of the broader tokenized real-world asset market.

The latest recognition by ADGM highlights how regulated financial centres are increasingly embracing tokenized assets beyond cryptocurrencies. As interest in blockchain-based commodities continues to grow, tokenized gold is emerging as one of the fastest-expanding segments within the digital asset ecosystem.

 

 

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Written by
Kapil Rajyaguru -

Kapil Rajyaguru is a news editor at 3.0 TV with over 15 years of professional writing experience and more than four years dedicated to the cryptoverse.

An engineer by education and a writer by passion, Kapil brings a rare mix of technical insight and storytelling finesse. A firm believer that cryptocurrencies, blockchain and AI are the building blocks of the future, he crafts in-depth news and analysis to educate, empower and prepare the masses for the next frontier of Web3.

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