Tether Gold (XAUT), the company’s gold-backed token, received Shariah Compliance certification. The asset can now be used by Islamic banks, financial institutions, and individual investors within the framework of Islamic finance.
Tether, the issuer of USDT, the world’s largest stablecoin by market capitalization, announced that Amanah Advisors had granted Shariah Compliance certification for XAUT, confirming that the token meets the core principles of Islamic finance.
XAUT is issued by TG Commodities, S.A. de C.V. Each XAUT token represents ownership of 1 troy ounce of physical gold stored in Swiss vaults. Every gold bar has a unique serial number, specified weight, and purity, and token holders can redeem their holdings for physical gold. The certification confirmed that XAUT’s structure complies with key Shariah requirements, including:
- direct ownership of physical gold;
- transparent reserve backing;
- no interest (riba), leverage, or speculative derivatives.
To learn more about Islamic finance and how interest-free banking works, read CP Media’s special report.
Tether said the certification will support the integration of XAUT into a range of Islamic financial products and services, including:
- takaful insurance;
- halal savings programs;
- long-term wealth preservation solutions;
- digital gold banking solutions;
- tokenized trade finance;
- gold-backed collateral solutions.
According to Tether CEO Paolo Ardoino, the certification is expected to accelerate XAUT adoption across Gulf Cooperation Council (GCC) countries, South Asia, and parts of Africa, where gold has long served as a savings asset, as well as in global financial centers developing Islamic financial products and asset tokenization.
Amanah Advisors will continue working with Tether to develop practical guidance and governance frameworks aimed at expanding Shariah compliant adoption of XAUT, including in secondary market transactions. Tether also plans to support the rollout by launching regional educational programs for institutional and retail users, with materials available in multiple languages.
In late July 2026, Abu Dhabi Global Market (ADGM) recognized XAUT as an eligible commodity for spot trading. A month earlier, Tether and Fasset launched a Visa neobank card featuring automatic accumulation of tokenized gold.
