Cryptocurrency exchange Bybit has launched a yield-bearing product for Tether Gold (XAUT), enabling users to earn passive income while maintaining exposure to gold prices.
The move transforms tokenized gold-a traditionally non-yielding store of value-into an income-generating asset. Bybit positions this as part of its broader expansion into tokenized real-world assets (RWAs).
Gold recently hit record highs above $5,500 per troy ounce before retreating nearly $1,000 amid fading expectations for Federal Reserve rate cuts, rising real yields, and a stronger US dollar. Analysts cite overcrowded bullish positions as a key risk.
Despite volatility, tokenized commodities have surged past $6 billion in market value, largely driven by gold’s historic rally. Competing platforms like Theo have also launched gold-linked yield products using derivatives to generate returns independent of price direction.