Tether's Gold Token Gets Shariah Certification, Expands Access to Physical Gold

Tether's XAUt gold token has received Shariah certification from Amanah Advisors, paving the way for Islamic financial institutions and investors to gain exposure to physical gold. The certification ensures that XAUt complies with key Islamic finance principles, including full backing by physical gold, no interest or leverage, and transparent reserves.

XAUt represents one troy ounce of physical gold stored in Swiss vaults, and as of March 31, the token was backed by over 707,000 troy ounces of physical gold worth more than $3.3 billion. The certification is expected to support XAUt's adoption across markets where Islamic finance is widely used, including the Gulf Cooperation Council, South Asia, and parts of Africa.

Tether's tokenized gold product has seen significant growth, with its on-chain asset value climbing from around $700 million in July 2025 to roughly $2.5 billion. This move follows other Shariah-compliant digital assets emerging in the market, such as Palm Azgar Finance's PUSD stablecoin and Bahrain-based AlAbraaj Restaurants Group's adoption of a Bitcoin treasury strategy.