Tether Launches New Visa Card for Gold-Backed Stablecoin
Tether has unveiled a new Visa card that integrates its gold-backed stablecoin, Tether Gold (XAUT), allowing users to earn cashback rewards in digital gold. This innovative payment solution, developed in collaboration with digital banking firm Fasset, enables users to spend their XAUT wherever Visa is accepted worldwide.
Users can utilize their XAUT balance, which is converted to Tether’s USDT before being exchanged for fiat currency at the point of sale. The cardholders can earn up to 6% cashback in XAUT on eligible purchases, credited immediately. Additionally, a round-up feature is available, allowing users to automatically invest spare change back into XAUT.
Paolo Ardoino, CEO of Tether, emphasized the card's significance, stating, “Historically, gold has been a store of value, not a medium of exchange. This initiative changes that narrative.”
The XAUT token, which corresponds to one troy ounce of physical gold stored in Swiss vaults, aims to provide real-world utility, making gold more accessible in everyday transactions. With a current market cap of about $2.7 billion, XAUT has been gaining traction, particularly as gold prices recently peaked above $5,500 per ounce before stabilizing around $4,414.
