Tether, the company behind several leading cryptocurrency stablecoins, including USDT, announced Wednesday that it holds $770 million in physical gold bullion reserves backing its Tether Gold (XAUT) stablecoin.

Launched in 2020, XAUT is a digital asset pegged to the price of one ounce of physical gold.

According to the new press release from Tether, each token represents direct ownership of gold bars held in secured Swiss vaults.

Says Paolo Ardoino, CEO of Tether,

“Tether Gold continues to demonstrate the strength and resilience of gold as a store of value, especially in times of economic uncertainty.

With XAUT, we’re offering users the ability to access the security of physical gold in a digital form—secure, easily transferable, and backed 1:1 by fully held gold reserves. It’s part of our broader commitment to building financial tools that combine the best of traditional assets with the efficiency of blockchain technology.”

The disclosure comes amid ongoing scrutiny over stablecoin reserve transparency throughout the cryptocurrency industry.

The company added that third-party custodians regularly audit its gold reserves to ensure they match the number of XAUT tokens in circulation.

Tether has not disclosed specific details about its vault locations, citing security concerns.

Last month, Tether hired a new chief financial officer (CFO) and committed to completing a full audit.