- Tether is exploring investments in gold miners and royalty companies to diversify its holdings and expand its presence in commodity markets.
- The company holds $8.7 billion in gold reserves and recently reported $4.9 billion in net profit, boosted by rising gold and Bitcoin prices.
Tether, the leading stablecoin issuer behind USDT, is moving to strengthen its presence in the gold industry. The company is actively exploring investments in gold mining, refining, trading, and royalty firms to diversify its holdings and expand its role in commodity markets.
Tether Gold Investments and Royalties
Tether has engaged with multiple gold investment groups, including Terranova Resources, though no deal has been finalized yet. Earlier this year, Tether acquired nearly 38% of Toronto-listed Elemental Altus Royalties Corp for $82 million, with the option to increase its stake to over 50%. The company is considering additional investments in royalty firms to further solidify its position in the gold sector.
CEO Paolo Ardoino is a vocal supporter of gold, calling it “natural Bitcoin” and emphasizing its stability compared to national currencies. At the Bitcoin 2025 Conference, Ardoino highlighted Tether’s confidence in gold, stating that while many consider Bitcoin digital gold, gold itself represents Bitcoin in its natural form.
Strong Financial Performance and Market Influence
Tether not only operates USDT, the largest dollar-pegged stablecoin with a market cap of around $168 billion, but also issues XAUt, a gold-backed stablecoin backed by $8.7 billion in gold stored in Zurich. In the second quarter of 2025, Tether reported $4.9 billion in net profit, driven by gains in both gold and Bitcoin. Gold prices recently surged past $3,500, reaching new highs after hitting $3,300 in April.
By investing in gold miners and royalty companies, Tether is bridging the gap between cryptocurrency and traditional finance. This strategy enhances stability for its stablecoins while reinforcing the company’s reputation as a crypto issuer with strong ties to tangible assets.
Tether’s gold-focused expansion underscores a growing trend of cryptocurrency firms investing in traditional commodities to hedge risks and diversify portfolios, strengthening their long-term market position.
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