BlockBeats News, June 28th, Tether is further utilizing its about $23 billion gold reserves, partnering with the crypto lending platform Ledn to expand the use cases of the tokenized gold Tether Gold (XAUT). Ledn has announced its support for XAUT and plans to launch XAUT-backed lending services later this year, alongside its existing Bitcoin and USDT-backed lending products.

Reportedly, each XAUT token is equivalent to 1 troy ounce of physical gold stored in a Swiss vault. Tether has stated that its approximately $23 billion gold reserves back XAUT on a 1:1 basis. In the future, users will be able to collateralize XAUT to access liquidity without the need to sell their gold assets, similar to the Bitcoin-backed lending model.

Tether CEO Paolo Ardoino stated that as the significance of digital assets in the global economy continues to rise, there is a growing market demand for financial instruments that balance long-term holdings with fund flexibility.

In recent years, Tether has consistently expanded its business horizons using the profits from USDT. It currently holds approximately 140 tons of physical gold and has invested in the precious metals trading platform Gold.com. It has partnered with the crypto financing company Antalpha to promote the application of XAUT in lending and physical redemption. Additionally, Tether has ventured into several areas, including Bitcoin mining, renewable energy, AI infrastructure, and computing power.