Arch accepts Tether Gold (XAUT) as collateral for eligible USD and USDC loans. An XAUT-backed loan lets you access liquidity without selling your tokenized gold.
Because the transaction is structured as a loan, it generally is not treated as a sale at origination. Tax treatment varies, so consult your tax advisor about your circumstances.
XAUT loan terms at a glance
Minimum loan amount: $250,000
Starting LTV: Up to 75%
APR: 7.25% to 9.25% for eligible 12-month loans with monthly interest payments
Loan term: 12 months
Credit requirements: No credit check, income verification, or hard credit pull
Early repayment: No prepayment penalty
Loan availability and exact terms vary by jurisdiction, loan size, market conditions, and eligibility. Other payment schedules may be priced differently.
Current rates by loan size
$250,000–$750,000: 8.50% interest rate, 0.75% origination fee, 9.25% APR
$750,000–$2 million: 8.00% interest rate, 0.75% origination fee, 8.75% APR
$2 million–$5 million: 7.75% interest rate, 0.50% origination fee, 8.25% APR
$5 million or more: 7.00% interest rate, 0.25% origination fee, 7.25% APR
These published rates apply to 12-month loans with monthly interest payments. The rate and fee in your loan agreement control.
What happens if the value of XAUT falls?
Your loan-to-value ratio, or LTV, compares your outstanding principal with the value of your collateral.
At 85% LTV, Arch issues a margin call. You have 24 hours to add collateral or repay part of the loan.
If the margin call is not resolved, Arch may partially liquidate enough collateral to restore the target LTV.
Reaching 90% LTV can trigger partial liquidation before the 24-hour cure period ends.
Where is XAUT held?
Your XAUT is held in Anchorage Digital Bank, a federally chartered national trust bank regulated by the Office of the Comptroller of the Currency.
Anchorage Digital maintains $100 million in commercial crime insurance coverage through Lloyd's of London, subject to the policy's terms and exclusions.
What does one XAUT represent?
XAUT is issued by TG Commodities, S.A. de C.V. Each token represents ownership of at least one fine troy ounce of gold in an LBMA Good Delivery bar held in a Swiss vault. Tether publishes quarterly reserve reports with independent assurance reports.
To review availability and configure a loan, visit the Arch app. If XAUT is not displayed for your account or jurisdiction, contact the Arch team through the chat widget.