Tether holds 116 tons of gold
HalfDime
Posts: 668 ✭✭✭✭✭
"According to a report by Cointelegraph, a Jefferies analysis report shows that the stablecoin issuer Tether currently holds 116 tons of physical gold, making it "the largest holder of gold outside of central banks," with reserves comparable to those of central banks in countries like South Korea, Hungary, and Greece.
In the last quarter, Tether's gold purchases accounted for nearly 2% of global gold demand and nearly 12% of central bank purchases, and its aggressive acquisition activities may have impacted short-term market supply and investor sentiment. Investors cited by Jefferies believe that Tether plans to acquire another 100 tons of gold in 2025. With an expected profit of $15 billion this year, this goal seems within reach.
Additionally, Tether has invested over $300 million in precious metal producers and issued gold-backed tokens Tether Gold (XAUt), which has a market capitalization of $2.1 billion and has doubled its issuance in the past six months., equivalent to the reserves of the central banks of South Korea and Hungary."
Crypto is creating a lot of demand for gold, who could have ever guessed.
Comments
Thank you, Tether, god bless you. RGDS!
The whole worlds off its rocker, buy Gold™.
BOOMIN!™
Wooooha! Did someone just say it's officially "TACO™" Tuesday????
So, a $15 billion profit by selling fablecoins.
So what happens if they are forced to liquidate?
Knowledge is the enemy of fear
They hold ~ 85% of their M.V. in US Treasuries for reserve, with < 10% in gold & PM, about 3% in US Cash, and a smaller amount in BTH and other cryptos. If a major withdrawal, they can use short term Treasuries if the Cash is insufficient, but several years ago they couldn't fund liquidations . Guessing they learned from their mistakes.
they have possession, it is in their own Swiss vault.
Tether (USDT) is a stablecoin pegged to the US dollar. It's the largest stablecoin by market cap but has faced controversy due to its lack of transparency and potential for failure. Tether was fined in 2021 for making false claims about its reserves. My jury is still out on this one. Needs more research.
Is Tether a Good Investment? (The Truth Revealed)
If you understand what is coming, then you can duck. If not, then you get sucker-punched. - Martin Armstrong
"Tether's gold holdings primarily back its gold-backed token XAUT, which allows holders to redeem tokens for physical gold directly from the Swiss vault. As of July 2025, the two largest gold-backed stablecoins, PAXG and Tether Gold (XAUT), had combined market values of approximately $900 million. Reports suggest Tether purchases around 2 tons of physical gold weekly to support the expansion of its gold-backed stablecoin operations."
Why wouldn't folk just just buy gold instead of "redeeming" some stupid token?
Knowledge is the enemy of fear
There are some people who don't want to hold physical, but instead will buy redeemable as a safety net instead.
This is only the beginning of having tokenized gold and silver, in ten years they may have the number three world holdings of gold. It is like the internet back in 1998.
>
To paraphrase Blitz - 'click click click' Some people still say the same about SLV, but we have been told repeatedly it does everything the physical does without any counter-party risk...
And pay fees on both sides of the transaction
Doesn't the price of SLV move with the price of silver? Thats why folk buy SLV.
And what does the price of a "stable coin" do? Remain stable? Don't folk buy gold because they think the price will go up?
What's the difference between a "stable coin" and a $1 Susan B Anthony. That SBA has $1 stamped right on it. Thats pretty dang stable.
Knowledge is the enemy of fear
Tether Gold is not a 'stable coin' as you own physical gold. The token trades under the symbol XAUT and has almost doubled YTD. How did the SBA $1 do this year?
You’re comparing performance of gold to the USD.
"XAUT (Tether Gold) is generally considered a stablecoin, but it is specifically a gold-backed or commodity-backed stablecoin rather than a dollar-pegged one.
Unlike fiat-backed stablecoins such as USDT by Tether or USDC by Circle , which aim to stay at 1 USD, XAUT’s price moves up and down with gold.
In the stablecoin taxonomy, it falls under “commodity-backed” or “gold-backed” stablecoins, so it is treated as a type of stablecoin but with commodity risk rather than fiat-currency stability."
There are safer and better returns elsewhere when playing paper PMs
If you understand what is coming, then you can duck. If not, then you get sucker-punched. - Martin Armstrong
This seems like a derivative of a derivative of something made up.
Knowledge is the enemy of fear
You mean it doesn't sound like a digital currency that represents tokenized gold, which it is?
Sounds like sasquatch and Loch Ness monster got married.
Knowledge is the enemy of fear
.