Trader Converts $4.17M Stablecoins to 843 XAUT as Gold Surges

Crypto or Gold? $4M Bet on Tether Gold Shows Investors Want Both

  • An on-chain address bought 843 units of Tether Gold (XAUT), about $4.2 million worth, during a gold price surge.
  • The trader deposited roughly $7 million in USDT to Bybit before converting it to tokenized gold.
  • Gold hit an all-time high near $5,000 per ounce, recording $4,966 on Friday.
  • A World Gold Council survey found 95% of central banks expect reserves to increase or remain unchanged over the next year.
  • Stablecoins were used to move crypto liquidity into gold-backed tokens on-chain during market volatility.

An on-chain address identified as 0x0a5e bought 843 units of Tether Gold (XAUT) — about $4.2 million — on Friday after depositing roughly $7 million in USDT to Bybit. The transaction was posted in a detailed X post and was shared by the on-chain analysis account that flagged the transfer.

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Each XAUT token represents one troy ounce of physical gold held in reserve by Tether, and the purchase shows a direct conversion from stablecoins into gold-backed digital assets. The trader withdrew the tokens after the USDT deposit, illustrating how stablecoins can move liquid capital into tokenized precious metals.

Gold prices have surged, with the metal reaching an all-time high near $5,000 per ounce and recording $4,966 on Friday. Goldman Sachs projects further gains and notes a forecasted rise of about 6% through mid-2026, while gold posted gains of more than 40% in 2025, according to its research.

Demand from official buyers also supports the rally. A World Gold Council survey shows 95% of surveyed central banks expect global gold reserves to increase or remain unchanged over the next 12 months, reinforcing gold’s role as a reserve asset (survey).

The transaction highlights how stablecoins serve as a bridge between crypto liquidity and traditional stores of value, enabling on-chain access to gold-backed tokens during periods of market volatility.

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