Tether Scudo Launched: New Gold Token Unit for XAUT
Tether introduced Scudo on 6 January 2026, a new unit equal to one-thousandth of its gold-backed XAUT token. The move aims to simplify fractional gold transactions on blockchain networks as gold prices hit record levels.
Scudo splits tether gold into units
Tether launched Scudo on 6 January 2026 as a new unit for its Tether Gold token XAU₮. Scudo represents one-thousandth of a troy ounce of gold and one-thousandth of one XAU₮. Tether Gold is a token backed by physical gold bars held in secure vaults. The Scudo unit turns a full ounce-backed token into smaller pieces that fit everyday transaction sizes.
Gold backing and rising market scale
Each XAU₮ token links to specific gold bars, with 1,329 bars and about 16.2 metric tons reported in recent disclosures. Tether and its partners store these bars in secure vaults. XAU₮ reached a market capitalisation of around 2.3 billion dollars by late 2025 after doubling within a few months. In early January 2026, the launch of Scudo followed gold spot prices near record highs above 4,400 dollars per ounce.
Fractional ownership and transaction design
Scudo introduces a structure similar to satoshis for Bitcoin, where very small units support precise pricing. A user can send or receive fractions of an ounce value instead of whole tokens. Tether connects Scudo to its Wallet Development Kit, a package of tools for building self-custody wallets. This kit supports XAU₮, the USDT stablecoin and Bitcoin, so developers integrate gold and dollar balances in the same interfaces.
Gold is once again proving its role as the ultimate store of value alongside Bitcoin. XAU₮ makes gold digital, and now with Scudo, we are lowering the barrier to entry so that anyone can own, easily price, and transact even the smallest fraction of the historical world's most trusted asset. — Paolo Ardoino, CEO, Tether
Broader tokenised gold and reserve context
Tether reported total gold reserves of about 116 metric tons by the end of the third quarter of 2025, including XAU₮ backing and corporate holdings. Independent reports described a purchase of 26 metric tons during that quarter alone. Central banks also increased gold holdings strongly in 2025, buying hundreds of tons across the year. Scudo arrives into a market where physical and tokenised gold both expand in scale and visibility.