Tether’s $8.7 Billion Gold Play: Is This the Next Big Bet Reshaping Crypto and Mining Forever?
Ever wonder what happens when a titan of digital currency decides to put its golden eggs in a real-world basket? Well, Tether, the stablecoin powerhouse behind USDT and the gold-backed XAUt, is making waves by setting its sights on the gold mining industry. With a staggering $8.7 billion in gold reserves tucked away in a Zurich vault, Tether isn’t just content stacking bullion—they’re actively courting gold miners, royalty firms, and refining ventures to diversify and deepen their foothold in the commodities market. It’s a move that’s as bold as it is strategic, signaling a savvy pivot to anchor digital wealth in tangible assets. If you thought stablecoins were just about digital dollars, think again. The company’s recent acquisition of a near 38% stake in Elemental Altus Royalties Corp shows they’re serious about playing the long game in precious metals. Curious how this blending of crypto muscle and classic commodities could reshape investment landscapes? Strap in—it’s a gold rush for the digital age. LEARN MORE.
The company is seeking to deploy its profits into bullion-related ventures.
Key Takeaways
- Tether is actively exploring investments in the gold mining industry to diversify its holdings.
- The company operates both USDT and XAUt tokens, with huge gold reserves and a growing presence in commodity markets.
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Tether is exploring investments across the gold industry, from mining and refining to trading and royalty companies, the Financial Times reported Thursday.
The leading stablecoin issuer, which runs a gold-backed stablecoin called XAUt, is said to have engaged with mining and investment groups over investment opportunities. One of them was Terranova Resources, a BVI-based gold mining vehicle, though no agreement was reached.
The discussions come after Tether spent approximately $82 million to acquire its initial controlling stake of nearly 38% in Toronto-listed gold royalty company Elemental Altus Royalties Corp.
The transaction was completed in June through share purchases from existing shareholders, including La Mancha Investments. Following the acquisition, Tether gained the right to increase its ownership to over 50%.
The company has held talks with multiple royalty companies and is considering additional deals, including expanding its Elemental Altus stake, according to the report.
Tether CEO Paolo Ardoino is a vocal gold supporter. He has publicly expressed confidence in gold’s fundamentals, describing it as a safer and more reliable asset than any national currency.
At the Bitcoin 2025 Conference, Ardoino referred to gold as “natural Bitcoin,” stating that while many Bitcoiners consider Bitcoin to be “digital gold,” he personally views gold as “Bitcoin in nature.”
Tether holds $8.7 billion in gold bars stored in a Zurich vault as collateral for one of its stablecoins. It also issues USDT, the largest dollar-pegged stablecoin with a market capitalization of about $168 billion, per CoinGecko.
The company recently reported $4.9 billion in net profit in the second quarter of the year, as Bitcoin and gold fueled gains. Gold, which reached $3,300 in April, recently rose to a fresh high above $3,500.
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