Cointelegraph — Tether Ltd has achieved a significant regulatory milestone with the receipt of official Shariah certification for its XAUt digital gold-token, opening doors to Islamic financial institutions and investors seeking sharia-compliant exposure to physical precious metals.
The certification validates that the stablecoin’s structure aligns with Islamic finance principles prohibiting speculative trading (gharar) while maintaining a 1:1 backing by refined gold reserves. This represents one of the few digital asset products in crypto markets to attain formal religious law compliance credentials.
Islamic financial institutions operating across Middle East, Southeast Asia and North African regions can now integrate XAUt into their investment portfolios without violating shariah requirements that many traditional Islamic banks adhere to regardless of geographic location.
