According to a report by the Financial Times, USDT and XAUt issuer Tether is in talks to enter the gold industry. According to the report, the company aims to initiate gold mining, refining, trading, and even royalties. The move aligns with Tether’s aim of expanding its gold initiatives. The company holds about $8.7 billion worth of gold in a Zurich vault. Tether also bought a $105 million stake in Elemental Altus. Elemental Altus is a Toronto stock exchange-listed gold royalty company.
Tether Going Big On Gold?
Tether CEO Paolo Ardoino is an active supporter of the yellow metal. He has reiterated his confidence in gold’s underlying fundamentals, portraying it as a safer and more reliable store of value than sovereign currencies. At the Bitcoin 2025 Conference, Ardoino called gold “natural Bitcoin,” and called Bitcoin “digital gold.”
Tether already has a stablecoin pegged to the shiny commodity, XAUt. XAUt was launched in January 2020, more than five years ago. According to Coingecko data, XAUt is currently the 100th largest crypto project by market cap, with a valuation of $1.33 billion.
Tether’s latest ambitions could be a way for the company to further stabilize its reserves. President Trump recently signed the GENIUS stablecoin act into law. The law requires issuers to maintain 100% backing using cash, U.S. Treasuries, or other high-quality short-term assets on a one-to-one basis.
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Tether recently posted a net profit of $4.9 billion in the second quarter of this year. The profits were driven by gains in Bitcoin and gold. Gold, which touched $3,300 in April, has since climbed to a new record above $3,500.
Tether’s ambitions to enter the gold industry are still in its early stages. An agreement is yet to be reached before the company can officially step into the gold mining, refining, trading, and royalty market.