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Tether Gold is allowed to be traded as a spot commodity on the Abu Dhabi Global Market

2026-07-21 12:16:58
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TEDA Gold is accepted as a spot commodity by the Abu Dhabi Global Market

TEDA Gold (XAUT), a digital token issued by TEDA and supported by physical gold, has been officially recognized by the Abu Dhabi Global Market (ADGM). It is an "approved spot commodity." The decision means that companies authorized by ADGM, one of the region's largest international financial centers, can provide XAUT-related services as long as they obtain the necessary regulatory approvals.

Strategic significance for ADGM and TEDA

ADGM has previously recognized TEDA's USDt (USDT) as an "approved legal reference token." The classification of XAUT expands TEDA's regulated product portfolio in the jurisdiction and reflects institutional investors 'growing interest in tokenized assets, especially those backed by tangible commodities such as gold.

TEDA CEO Paul Adono welcomed this and emphasized that this new identity provides a transparent framework for regulated agencies within ADGM to integrate XAUT into their own products and services. ADGM said this recognition is expected to support the center's business development by increasing the diversity of digital assets available to financial companies.

TEDA CEO Paul Adoino called the recognition an important milestone, noting that it opens the door for regulated companies within ADGM to provide XAUT services and helps drive wider use of regulated tokenized goods.

ADGM, located in Abu Dhabi, is a key hub for global financial activity in the United Arab Emirates, providing licensing, regulation and a business-friendly environment for financial operators.

The rapid rise of TEDA gold applications and ecosystems

According to data from DefiLlama, TEDA gold's total locked position value (TVL) has increased significantly in the past year, from US$826 million to approximately US$2.86 billion. This trend suggests that adoption of XAUT is increasing by investors seeking regulated access to digital gold.

(Data comparison: TVL in July 2023 was US$826 million, and TVL in July 2024 was US$2.86 billion)

In addition to trading and storage, the practicality of XAUT is also increasing. In June this year, Bitcoin lending platform Ledn revealed that it plans to accept XAUT as loan collateral later this year. The upcoming service will allow customers to use tokenized gold as collateral to gain liquidity without selling assets.

The tokenized goods market continues to grow

Data from RWA.xyz shows that the circulation value of tokenized goods has reached US$4.46 billion. As institutions and investors seek new ways to participate in traditional assets backed by blockchain, tokenized goods now account for approximately 13% of the overall tokenized physical asset (RWA) market ($34.73 billion).

TEDA Gold's expanding application scenarios and growing asset size reflect the continued integration of digital finance with mature commodity markets in regulated jurisdictions such as Abu Dhabi.

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