Tether holds talks to invest across gold supply chain: Report
Tether has accumulated $8.7 billion in physical gold and has a gold-backed cryptocurrency with a $1.4 billion market cap.
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.