A KPMG audit found that Tether Gold (XAU₮) was fully backed by physical gold as of December 31, 2025. The independent audit examined TG Commodities, the issuer of XAU₮, and identified a close correlation between the gold held by the company and the number of tokens in circulation, according to Tron Weekly.

Audit Findings and XAU₮ Supply

The audit results announced by Tether on Thursday, November 12, showed that TG Commodities held 520,089.350 fine troy ounces of physical gold, with an approximate value of $2.246 billion. The circulating supply of XAU₮ stood at 520,089.300 tokens in 2025.

Tether described XAU₮ as its second stablecoin to complete a Big Four audit in an official announcement. The company also shared the announcement on X:

Tether Gold (XAU₮) Becomes Tether’s Second Stablecoin to Complete a Big Four Audit Learn more: — Tether (@tether) November 12, 2026

The audit figures indicate that TG Commodities held enough physical gold to back the entire circulating supply of XAU₮ at the end of 2025.

KPMG Physically Inspected the Gold Bars

KPMG’s work included more than a review of financial documents. Auditors visited the relevant site and manually inspected each gold bar backing XAU₮. The physical inspection allowed them to verify the quantity of gold held by TG Commodities.

KPMG issued an unqualified opinion on TG Commodities’ financial statements for the year ended December 31, 2025. An unqualified, or “clean,” opinion means the accountant found no material reservations regarding the presentation of the financial statements.

Paolo Ardoino, Tether’s CEO, highlighted the audit’s physical verification process, saying KPMG “counted every single bar” as part of its Tether Gold audit. Ardoino also expressed optimism about XAU₮’s position in the gold investment market, stating that “XAU₮ is on track to become the first true competitor to the gold ETF market.”

Reserves Reportedly Reached $3.44 Billion in 2026

The KPMG audit covered TG Commodities’ financial position at the end of 2025, while Tether has continued to report growth in the physical gold backing XAU₮. According to Tether, the value of those reserves reached approximately $3.44 billion as of September 30, 2026. That represented an increase of about 59% from the end of 2025.

XAU₮ is a blockchain-based token that provides access to physical gold. Each token represents ownership of one fine troy ounce of gold stored in a vault in Switzerland. The structure allows users to access gold through digital platforms instead of purchasing and storing physical bars, while also enabling transfers over supported blockchain networks.

Tokenized Gold and Transparency

Tokenized gold is gaining attention as the gold industry explores technology-based ways to make the asset more accessible. The World Gold Council has previously recognized the potential for technological innovation to expand gold investment opportunities. Its model has indicated that removing adoption barriers could increase gold demand by approximately $700 billion.

Assets such as XAU₮ could support that expansion by improving the accessibility, transferability, and management of gold through blockchain technology. At the same time, the growth of digital gold products increases the importance of transparency regarding reserve ownership, storage arrangements, and whether physical assets match the number of tokens issued.

The audit is a point-in-time examination of TG Commodities’ 2025 financial position, so later assessments of XAU₮ will continue to depend on updated disclosures about the physical gold held, its storage, and the tokens in circulation. With Tether reporting reserves of $3.44 billion by September 2026, the KPMG audit adds a reference point as blockchain-based gold products compete with traditional exchange-traded gold.