Theo Brings Yield-Bearing Gold Onchain via Regulated Tokenized Fund Structure

The tokenized yield-bearing gold product is designed for composable, productive use across DeFi venues, built on FundBridge Capital's MG999 tokenized fund, powered by Standard Chartered Venture's Libeara

NEW YORK, Jan. 27, 2026 /PRNewswire/ -- Theo, a full-stack tokenization platform built by former traders from Optiver and IMC, today announced the launch of thGOLD, a yield-bearing tokenized gold product that provides exposure to LBMA gold prices while generating yield - a first for tokenized commodities.

Available soon across major DeFi venues, including Hyperliquid, Uniswap, Morpho, and Pendle, thGOLD is built on the MG999 On-Chain Gold Fund ("MG999"), a tokenised secured private credit fund managed by FundBridge Capital partnering with Mustafa Gold, and powered by Libeara, a tokenization platform incubated by Standard Chartered Ventures, which supports over $1B in compliant onchain assets.

The MG999 fund generates yield through secured lending to established gold retailers – starting with Singapore's Mustafa Gold – while maintaining exposure to gold spot prices. Borrowers pledge their gold inventory to the fund in exchange for liquidity. This transforms gold from a "negative carry" asset into a yield-producing instrument as the fund will receive interest committed under the secured lending arrangement, subject to counterparty, collateral, and market risks.

Gold surged 64% in 2025 - its best year since 1979 - as central banks accumulated reserves and geopolitical risk drove safe-haven demand. Yet, for centuries, gold has been a "negative carry" asset, where investors incur storage and security expenses while the underlying asset sits idle; thGOLD changes that. Rather than paying vault fees, investors gain exposure to gold spot prices while earning yield through a secured lending arrangement.

In addition, thGOLD also aims to capture yield from bank gold lending rates in the future as the product develops further. This infrastructure lays the foundation for Theo's upcoming delta-neutral strategies, which will capture yields from gold futures funding without exposure to gold price movements, duration risk, or lock-up periods. Physical gold requires costly storage and security. ETFs removed that burden but left investors paying fees on a static asset. thGOLD represents a third era: tokenized gold that earns yield, trades across DeFi venues, and works as collateral without sacrificing exposure to spot prices.

"Most tokenized gold today is just a wrapper. You're paying fees to hold an asset that does nothing. We built thGOLD to actually work in DeFi: it earns yield, it trades on real venues, and you can use it as collateral. That's what tokenization should deliver," said Ari Pingle, Co-founder of Theo.

"For 35 years we've built trust in physical gold," said Mustaq Ahmad, founder of the Mustafa Group. "The MG999 partnership with FundBridge Capital enables us to extend that into digital markets and offer an alternative investment mechanism for investors."

Theo provides the trading infrastructure, professional market-making, and multi-venue distribution that enables thGOLD to function as a fully composable onchain asset available across spot markets and eventually perpetual exchanges, lending protocols, and other select venues.

"We are excited to see how Theo's liquidity network will allow thGOLD to move seamlessly across DeFi. Ease of access is something that we have seen demand for from institutional players," said Aaron Gwak, Founder & CEO of Libeara.

thGOLD leverages the same institutional partnerships, market-making relationships, and distribution channels that powered thBILL, Theo's tokenized treasury product, to over $200M in TVL and ~$1B in cumulative trading volume within four months of launch.

thGOLD is launching with capped early access while the fund scales to full capacity.

About Theo
Theo is an institutional-grade gateway connecting onchain capital to global markets. Built by a team of ex-traders from industry-leading market makers and hedge funds, Theo prioritizes security, resiliency, and performance in the mission of enabling onchain access to high-quality financial products. Learn more at theo.xyz

About Libeara
Libeara is rebuilding capital markets on-chain through its compliance-first approach to the tokenisation of real-world assets. The company is backed by the innovation arm of Standard Chartered, SC Ventures, whose mission is to rewire the DNA of banking. To date, Libeara's infrastructure has supported the tokenisation of more than US$1 billion in regulated assets — including a top-rated tokenised U.S. Treasury fund and Asia's first tokenised retail money market fund. With multi-chain interoperability and institutional-grade security and governance, Libeara is scaling access to real-world assets the right way – transparent, regulated, and on-chain. 

About FundBridge Capital
FundBridge Capital connects capital sources with investment opportunities, acting as a trusted partner in the financial landscape. Established in 2017 and regulated by the Monetary Authority of Singapore, the firm specializes in launching and managing regulated funds for high-net-worth individuals and institutions. For more information, visit https://fundbridge.sg/

About Mustafa Gold
Mustafa Gold Pte Ltd was established by Mr Abu Osama as an associate of the Mustafa Group, which has been a cornerstone of Singapore's gold and merchandise retail market for the past 35 years. Rooted in a deep understanding of the precious metals market, Mustafa Gold continues the legacy of the Group with respect to trust, transparency, and innovation. Leveraging on Libeara's tokenisation platform in collaboration with Fundbridge Capital, Mustafa Gold is embracing new technologies to serve evolving market needs.

Disclaimer: This is not an advertisement making an offer or calling attention to an offer or intended offer. Before making any investment decision, please seek independent legal and financial advice. The information and materials presented are intended solely for Accredited Investors and Institutional Investors.

SOURCE Theo Network