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The companies intend to enhance worldwide access to tokenized gold and facilitate the purchase of bullion using Tether’s stablecoins.
Tether CEO Paolo Ardoino (Nikhilesh De/CoinDesk)
Key points:
- Tether has acquired a 12% share in Gold.com (GOLD) to enhance the distribution of its gold-backed token XAUT
- This action coincides with the growth of the tokenized gold market, which has surpassed $5 billion, fueled by increasing gold prices.
- Tether has also invested in Anchorage Digital, a U.S.-regulated crypto bank, to strengthen its U.S.-regulated stablecoin, USAT.
Tether, the issuer of the globe’s leading stablecoin , has secured a $150 million minority interest in Gold.com (GOLD), intensifying its involvement in the gold sector as the metal gains favor among investors seeking stability in uncertain times.
The investment, revealed on Thursday through a blog post, grants Tether a 12% ownership in Gold.com, a platform that facilitates access to both physical and tokenized gold. As part of this collaboration, Tether will incorporate XAUT, its gold-backed token, into Gold.com’s framework.
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The companies will also investigate the possibility of enabling the purchase of physical gold using Tether’s U.S. dollar stablecoin USDT and its newly introduced U.S.-regulated stablecoin, USAT.
Gold.com’s publicly traded shares increased by 6% following Thursday’s market hours.
Tether’s investment follows a significant surge in gold prices, which exceeded $5,000 per ounce last week. Concurrently, the market for blockchain-based gold tokens has expanded from $1.3 billion to over $5.5 billion. Tether’s XAUT token currently constitutes over 60% of the tokenized gold market and is backed one-to-one by physical gold stored in Swiss vaults.
"Gold has historically been crucial in preserving value, especially during times of monetary strain and geopolitical tension," stated Paolo Ardoino, CEO of Tether.
"Exposure to gold is not merely a trade for Tether," he further noted. "It serves as a hedge and a long-term investment to safeguard our user base and ourselves in an increasingly unstable world."
Earlier on Thursday, Tether also disclosed an investment in Anchorage Digital, a federally regulated crypto bank in the U.S. and a key collaborator in the launch of USAT.
