Tether, the company behind the world’s largest stablecoin USDT, has held talks to invest in the gold mining sector. With this, the firm is making a bold move to anchor some of its vast crypto-generated profits in physical assets.
The Financial Times reported that the people familiar with recent talks said that the company was exploring the entire gold value chain. This includes mining, refining, trading, and royalty investments.
In line with this agenda, Tether has already kickstarted its strategy. In June, it acquired a $105 million minority stake in Toronto-listed Elemental Altus, a gold royalty firm. The company followed up with another $100 million investment in the same firm, coinciding with its merger with EMX, signaling a serious commitment to the sector.
“I know people think that bitcoin is ‘digital gold,’” said Tether CEO Paolo Ardoino in a May speech. “I prefer to think in bitcoin terms—I think gold is our source of nature.”
Strategic Shift or Speculative Gamble?
Tether’s growing interest in gold has caught the traditionally conservative mining industry off guard. One mining executive remarked, “They like gold. I don’t think they have a strategy.” Another added, “It is the weirdest company I have ever dealt with.”
Despite the skepticism, Tether is positioning itself as a bridge between the digital and physical asset worlds. It currently holds $8.7 billion in gold bars. These are stored in Zurich and used as collateral for its XAUt token, a cryptocurrency backed by physical gold. Although the token still trails behind USDT in adoption.
Reportedly, Tether also explored deals with firms like Terranova Resources and expanded into commodity trade finance, building a billion-dollar trading book to finance raw material shipments. However, this didn’t turn into a deal.
With over $168 billion in market cap and $5.7 billion in H1 2025 profits, Tether’s pivot to gold shows a long-term vision to diversify and de-risk its portfolio. This also aligns with its view of gold as a stable and enduring store of value.
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