About Tether Gold (XAU)

Tether Gold Frequently Asked Questions (FAQ)

What is the primary function of Tether Gold (XAU₮)?


The primary function of Tether Gold (XAU₮) is to provide a digital asset that is backed by physical gold, offering the stability of gold with the flexibility of digital assets. It allows users to transact with and hold gold in a cryptographically-secure manner, without the need for physical storage, while being able to redeem it for physical gold if desired.




How does Tether Gold ensure the physical gold meets LBMA standards?


Tether Gold ensures that the physical gold backing its tokens meets LBMA standards by keeping the gold in a Swiss vault, requiring a direct title to the gold with each token representing ownership of one troy ounce of physical gold on a specific gold bar. The gold is audited by a top-tier firm to confirm adherence to the high standards of fineness, integrity, and quality set by the London Bullion Market Association (LBMA).




What are the benefits of owning Tether Gold compared to physical gold?


Owning Tether Gold (XAUt) offers benefits such as reduced physical storage concerns, elimination of vault fees for qualifying accounts, ease of transfer and division, accessibility for trading on digital asset exchanges, and blockchain-enabled transparency and security.




How can Tether Gold be transported easily?


Tether Gold (XAUt) is a digital asset, representing ownership of physical gold held in a vault. Its transport is as easy as transferring the digital tokens from one blockchain wallet to another, without the need for physically moving the actual gold. This can be done online, quickly, securely, and without the logistical challenges of moving physical bullion.




In what increments can Tether Gold (XAU₮) be divided?


Tether Gold (XAU₮) can be divided into increments as small as 0.000001 troy ounces.




Can Tether Gold (XAU₮) be traded on all cryptocurrency exchanges?


No, Tether Gold (XAU₮) cannot be traded on all cryptocurrency exchanges. It is only listed on certain platforms that support it. Users should check with individual exchanges to see if they offer XAU₮ trading pairs.




Are there specific times when Tether Gold trading is unavailable?


Tether Gold trading is typically available 24/7, similar to other cryptocurrencies. However, it may be subject to downtime during exchange maintenance or unforeseen disruptions in the blockchain network.




How can I redeem my Tether Gold (XAU₮) for physical gold?


To redeem your Tether Gold (XAU₮) for physical gold, verify that you own a minimum required quantity, typically one full troy ounce token. Contact Tether directly through their official website to initiate the redemption process. Complete their verification requirements, and once approved, coordinate with Tether for the secure delivery of the physical gold.




Is there a geographic limitation to where Tether Gold can deliver physical gold?


Tether Gold has specific geographic limitations for the delivery of physical gold. It can only deliver physical gold to addresses in Switzerland. For other locations, ownership can be transferred, but physical delivery is restricted to Swiss territory.




What are the storage options for Tether Gold (XAU₮)?


Tether Gold (XAU₮) can be stored in any wallet that is ERC-20 compatible as it is an ERC-20 token on the Ethereum blockchain. Holders may also have the option to store their XAU₮ with a custodian if they prefer professional storage solutions.




How can investors verify the gold backing their Tether Gold tokens?


Investors can verify the gold backing their Tether Gold tokens by checking the serial numbers of the gold bars attributed to each token. These details are published on the Tether Gold website. Additionally, the gold reserves are said to be audited regularly, with the reports available to the public to ensure transparency and authenticity of the token's backing.




Can Tether Gold (XAU₮) be fractionated into any smaller unit than 0.000001 fine troy ounce?


No, Tether Gold (XAU₮) cannot be fractionated into smaller units than 0.000001 fine troy ounce. This is the smallest unit of measure for Tether Gold.