Tether is expanding the use of its tokenized gold product by partnering with crypto lender Ledn to introduce loans backed by Tether Gold (XAUT). The new service, expected to launch later this year, will allow XAUT holders to borrow funds without selling their gold-backed tokens.
Ledn will initially support XAUT alongside Bitcoin and USDT, giving investors another way to unlock liquidity while continuing to hold their digital assets.
The move marks another step in Tether’s strategy to expand beyond its core stablecoin business. The initiative is backed by Tether’s nearly $23B worth of physical gold reserves, with each XAUT token representing one troy ounce of gold stored in Swiss vaults.
By bringing traditional bullion-backed lending onto blockchain infrastructure, Tether aims to make tokenized gold more useful as financial collateral.
The company believes growing demand for real-world asset tokenization will encourage broader adoption of products that combine long-term ownership with greater financial flexibility.
Tether is turning its $23 billion gold pile into a lending business@Tether is bringing its tokenized gold token XAUT to crypto lender Ledn, with gold-backed loans expected to go live later this year. Holders will be able to borrow against their bullion instead of selling it,… pic.twitter.com/DgEwu9EOnE
— BSCN (@BSCNews) June 28, 2026
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