Tether Eyes Gold Mining As New Frontier For Crypto Profit Deployment

Tether the issuer of the market’s largest stablecoin by trading volume USDT is reportedly in discussions to invest in gold ￰0￱ company aims to channel its substantial cryptocurrency profits into the metals ￰1￱ to a recent Financial Times report

Tether is exploring opportunities across the entire gold supply chain including mining refining trading

and royalty ￰2￱ As Foundational Asset Paolo Ardoino Tether’s CEO has expressed a strong affinity for gold referring to it as “natural Bitcoin.” In a speech earlier this year

he articulated a perspective that contrasts with the common view of Bitcoin as “digital gold,” instead emphasizing that gold represents “a foundational asset.” Per the report Tether’s interest in gold has surprised many within the traditional mining sector raising questions about the company’s strategy and its potential for ￰3￱ mining executive remarked on Tether’s unconventional approach suggesting that while the company appreciates gold

it lacks a clear strategy for navigating this established ￰4￱ one of the most profitable entities in the cryptocurrency space Tether boasts a market capitalization of $168 ￰5￱ company generated $5.7 billion in profits in the first half of this year and is also known as one of the largest holders of US Treasuries earning interest from these investments to support its ￰6￱ has already made significant strides in the gold market holding $8.7 billion worth of gold bars in a Zurich vault

which serves as collateral for its stablecoin ￰7￱ Gold Joins Tether In Bridging Crypto And Gold Markets Recently Tether Investments the arm responsible for managing the company’s profits acquired a minority stake in the gold royalty company Elemental Altus for $105 ￰8￱ investment was complemented by an additional $100 million infusion into Elemental following its merger with rival ￰9￱ Sartori

who leads business initiatives at Tether told the Financial Times that these investments are part of a broader strategy to enhance the company’s exposure to ￰10￱ addition to its investments in gold royalties the crypto company has also engaged in discussions with Terranova Resources a gold mining investment vehicle based in the British Virgin Islands

although no deal has ￰11￱ stablecoin issuer’s foray into gold also includes the XAUt token a cryptocurrency backed by physical gold though its market presence is relatively modest compared to ￰12￱ report highlights that other firms such as Blue Gold

are also exploring the intersection of cryptocurrency and ￰13￱ gold mining company plans to introduce digital tokens linked to its future gold output reflecting a belief that gold-backed tokens could gain global ￰14￱ image from DALL-E chart from ￰15￱