Stablecoin issuer Tether, the creator of USDt (USDT), has begun discussions with mining and investment groups about deploying capital across the gold supply chain, according to the Financial Times. The move would further diversify Tether's portfolio risk.
According to the report, Tether has been exploring deploying capital across several sectors in the gold business, including gold mining, refining, trading and royalty companies.
The company has accumulated $8.7 billion worth of physical gold, which is stored in a vault in Zurich, Switzerland. The reserves back Tether Gold (XAUT), the firm’s gold-pegged stablecoin with a market capitalization of about $1.4 billion.
Tether’s push into gold broadens is risk profile. Of its $162 billion in reserves, about $130 billion, or 80%, is held in cash, cash equivalents and short-term deposits, including $127 billion in direct and indirect US Treasury exposure. The company reported $5.7 billion in net profit in the first half of 2025, according to a June audit report.
Year-to-date, the price per ounce of gold has risen to about $3,600 at time of writing, representing a 36.5% surge in 2025, data by APMEX shows.
Cointelegraph reached out to Tether for comment but had not received receive a response at time of publication.
Tether has waded into the commodities market before. In October 2024, the company considered lending some of its profit to commodity traders. In November 2024, Tether expanded into oil trading through a $45 million financed crude oil transaction.
On Friday, Tether increased its stake in Canadian gold royalty company Elemental with a $100 million share purchase, Bloomberg reported Friday. The stablecoin issuer already owns 37.8% of the company, which acquires revenue streams from gold mining operations.
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