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Falcon Finance, the first universal collateralization infrastructure that turns liquid assets into USD-pegged on-chain liquidity, has announced today its integration with Tether Gold (XAUt), the largest and most liquid gold-backed token, as collateral for minting USDf.
The collaboration, which introduces the world’s most time-tested asset into Falcon’s diversified collateral ecosystem, seeks to enable users to gain exposure to gold’s store-of-value properties while earning sustainable, DeFi-native yield.
According to the announcement, the introduction of XAUt into the Falcon ecosystem marks a milestone for real-world assets (RWAs), bringing one of the world’s oldest and most trusted stores of value into Falcon’s on-chain collateral ecosystem.
Notably, the integration highlights the growing convergence of traditional finance and DeFi through tokenized assets, giving users access to yield-generating liquidity backed by tangible value.
 
Furthermore, Falcon’s integration of XAUt will unlock new ways to utilize the precious metal, as gold’s global market capitalization is estimated at around $27 trillion, and more than $3 billion has already been tokenized on-chain.
The move extends the utility of tokenized gold while enhancing portfolio diversification and enabling users to use the world’s most precious store of value as stablecoin collateral.
Andrei Grachev, Founding Partner at Falcon Finance, commented on the development: “Integrating Tether Gold as collateral represents a key step in our roadmap to expand USDf’s adoption and bridge the gap between traditional assets and on-chain liquidity.”
“Gold has always been a cornerstone of global finance, and bringing it on-chain through XAUt aligns with our mission to create universal, yield-generating infrastructure for all forms of value,” Grachev added.
Following its design, Tether Gold has engineered a real-world asset that enables 24/7 trading, deep liquidity, and fractional ownership combined with secure custodianship. This enables users to hold and trade verifiable gold in digital format and to use it as a yield-bearing asset.
Also, it is essential to note that integrating XAUt will further increase TVL while empowering more users to access sustainable yield through sUSDf.