RIADeFiPublished by Ketju Research
Not approved · Tokenized commodities

Ketju memo: Tether Gold (XAUT)

Not approvedPublished by Ketju Research

This memo sets out what the holder owns, who controls it, how holders could lose money, and whether a position can be sold. The advisor decides any client action and amount. Not investment, legal, tax, or compliance advice.

Summary

Ketju does not approve Tether Gold (XAUT): a 3-of-6 multisig can block any address and burn its balance, and most clients of a U.S. adviser cannot buy from or redeem with Tether Gold. An XAUT token is a claim on one fine troy ounce of gold on a specific London Good Delivery bar. TG Commodities, S.A. de C.V., authorised by El Salvador’s National Commission of Digital Assets, issues it on Ethereum. Its reserves report as of 30 June 2026 counts 707,747.139 ounces against 707,747.090 tokens. BDO Advisory Services examined it to a reasonable-assurance standard. The report places the bars in Switzerland, but Tether Gold has not named the custodian. The multisig that owns XAUT also owns USDT on Ethereum. On 2026-02-17 it blocked one address and burned its 12 XAUT. Tether Gold redeems only in whole bars of 430 tokens, so a smaller holder cannot redeem at all. U.S. persons may not hold a Gold Token Wallet unless Tether Gold accepts them as Eligible Contract Participants. Those clients can only sell on an exchange or a DEX. A physically backed gold ETF holds the same metal, creates and redeems daily, and has no issuer that can burn the holding. XAUt0, the form on thirteen other chains, is a separate token that the USDT0 Network mints. Tether Gold’s terms say a third party’s wrapped or bridged token is not a Gold Token.

Review triggers

  • Tether Gold names its custodian, and an independent review shows the bars are out of reach of the custodian’s and Tether’s creditors
  • Tether Gold opens redemption to U.S. persons who are not Eligible Contract Participants, or below one 430-token bar
  • The XAUT owner changes from the 3-of-6 MultiSigWallet 0xC6CD…A828, the proxy points at a new implementation, or the owner burns another blocked balance
  • A reserves report shows fewer ounces than tokens, is missed, changes firm, or drops to limited assurance
  • Tether Gold names XAUt0 in its terms, or XAUT held in the OFT Adapter falls below XAUt0 supply across all chains
  • Any sanctions or AML enforcement action lands against Tether or TG Commodities

Facts

Verdict
Not approved
Type
Tokenized commodities
Chains examined
Ethereum, Arbitrum, Avalanche, BSC, Celo, Conflux, Hyperliquid L1, Ink, Monad, Plasma, Polygon, Solana, Stable, TON
Instruments
XAUT, XAUt0
Reviewed
Last confirmed

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