Bybit has rolled out options trading on Tether Gold (XAUT), a token that mirrors ownership of one troy ounce of physical gold. The contracts settle in the dollar‑pegged stablecoin $USDT, giving investors a new tool to hedge exposure or speculate on gold price swings. This launch broadens Bybit’s crypto‑derivatives portfolio and signals deeper integration of traditional assets on blockchain platforms.
Liquidity Partnership
To guarantee institutional‑grade depth, Bybit partnered with Orbit Markets, a leading options market maker operating across crypto and traditional finance. Orbit contributes seasoned expertise, including former senior executives from precious‑metal desks such as the ex‑APAC Head of Currencies and Precious Metals at Deutsche Bank. Jimmy Yang, co‑founder of Orbit Markets, noted that tokenization is eroding the divide between crypto and TradFi, driving demand for gold‑linked derivatives.
Contract Mechanics
The XAUT options are European‑style instruments, meaning they can be exercised only at expiration. Each contract corresponds to one XAUT token, which itself represents a single troy ounce of gold, and settlement is executed in $USDT. Traders access these contracts via Bybit’s Request‑for‑Quote (RFQ) system for over‑the‑counter deals, allowing customized strategies and volatility trading for crypto investors.