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Metals.io launches 25,000 copper-backed xCu tokens

Metals.io launched 25,000 xCu tokens backed by 25 tonnes of refined copper in Hamburg, giving holders digital ownership with physical redemption subject to checks.

Uruguay Can Editorial

Metals.io launches 25,000 copper-backed xCu tokens

Buying copper exposure has often meant using futures or investing in miners; Metals.io has launched 25,000 xCu tokens backed by 25 tonnes of refined copper stored in Hamburg, Germany. Each token represents one kilogram, and the initial batch is valued at about $366,000, according to CoinDesk’s report on the launch.

The distinction is that xCu represents ownership of copper already held in storage, rather than exposure to metal still in the ground or a futures contract. Metals.io says the tokens use a smart-contract ledger to record fractional ownership, with Archax acting as trustee for token holders. The launch adds copper to the platform’s existing tokenized metals products.

How can holders trade or redeem xCu?

Metals.io says holders can trade xCu around the clock, with no minimum purchase. Physical delivery has a higher threshold: CoinDesk reported that each refined copper sheet weighs about 125 kilograms, which sets the minimum redemption amount. If you want delivery, the reported requirements are:

  1. Hold at least 125 xCu tokens.
  2. Have a suitable storage account.
  3. Pass identity and anti-money laundering checks.

Those conditions mean the token offers divisible digital ownership, while delivery remains tied to the practical requirements of handling and storing physical metal. Metals.io’s xCu product page also says physical redemption is limited to approved custody account holders and is subject to product rules and operational procedures.

Who checks the copper behind the tokens?

Archax acts as trustee and checks that the copper held matches the circulating token supply, CoinDesk reported. Metals.io says its monthly proof-of-reserves statements verify the copper backing xCu. The company has not said that the initial batch will automatically grow: CoinDesk reported that future issuance will depend on investor demand.

So the launch gives investors a way to trade claims on stored copper through a token, while keeping physical delivery conditional on eligibility, custody and minimum-size requirements.

Sources