Key Takeaways

• Tether has introduced Scudo, a new unit of account representing 1/1,000th of a troy ounce of gold via its XAUT token.

• The move aims to make gold as easily divisible and transactable as Bitcoin’s “satoshis” for smaller on-chain payments.

• This launch comes amid a record “gold rush,” with prices climbing 65% in 2025 due to de-dollarization and inflation fears.

Tether Makes Gold Divisible with New Scudo Unit

Tether, the world’s largest stablecoin issuer, has launched a new tool to revolutionize how users interact with precious metals. On Tuesday, the company unveiled Scudo, a unit of account designed to bring micro-divisibility to its gold-backed token, XAUT. One Scudo is equivalent to exactly one-thousandth of a troy ounce of gold. By creating a smaller, more relatable unit, Tether aims to transform gold from a static “long-term store of value” into a functional medium of exchange for everyday digital transactions.

CEO Paolo Ardoino has positioned Scudo as the gold equivalent of Satoshis (sats) for Bitcoin. While XAUT is already backed by over 1,300 physical gold bars and boasts a market cap of $2.3 billion, the high price of a full troy ounce—which surpassed $4,550 in 2025—often made fractional ownership feel inaccessible for retail users. Scudo removes this barrier, allowing users to send, spend, and hold tiny amounts of gold on-chain with the same ease as sending digital currency.

The 2025 Gold Rush and the De-Dollarization Trend

The introduction of Scudo arrives at a time of historic momentum for the metals market. In 2025, gold prices surged by 65%, driven by aggressive central bank purchases and a global “de-dollarization” effort among emerging economies.

Silver followed suit, skyrocketing over 140% to reach $80 per troy ounce. Economists like Peter Schiff have argued that this rally reflects growing concerns over persistent inflation and a broad deleveraging event in the traditional financial markets that occurred late last year.

Tether’s strategy is to link the “old world” security of gold with the “new world” efficiency of blockchain rails. By making gold more “liquid” and divisible, Scudo allows investors to hedge against inflation without worrying about the logistics of physical storage or the high fees of traditional bullion dealers. As central banks and institutional investors continue to accumulate gold at record levels, Tether is betting that retail users will want a “safe haven” asset that they can actually use for payments, rather than just locking it away in a vault.

Final Thoughts

Scudo is more than just a new unit; it is an attempt to “Bitcoin-ify” gold. By making the metal highly divisible, Tether is ensuring that gold remains relevant in a 24/7 digital economy.

Frequently Asked Questions

What is a Scudo?
A Scudo is a unit of account representing 1/1,000th of a troy ounce of gold, tied to Tether’s XAUT token.

Is Scudo backed by real gold?
Yes, Scudo is a fractional unit of XAUT, which is backed by physical gold bars held in Tether’s custody.

How is Scudo different from Bitcoin?
While both are digital assets, Scudo is pegged to the price of physical gold, whereas Bitcoin is a decentralized digital commodity.