Tether, the largest stablecoin issuer, has amassed nearly 80 tons of gold valued at around $8 billion. This development raises new questions about the company's transparency amid economic uncertainty.
A Strategic Move with Gold
Tether's investments in gold are not new. After the launch of Tether Gold (XAUT), the company supported the idea of asset-backed digital currencies. According to the Q1 2025 report, gold holdings rose from 7.7 tons to 80 tons by July 2025. CEO Paolo Ardoino confirmed that the gold is stored in 'the most secure vault in the world' in Switzerland, noting that gold serves as a safer alternative to national currencies amid geopolitical risks.
Market Timing
Tether’s decision comes at a moment when gold prices have surged over 38% in the past year. In April 2025, the price of gold reached an all-time high of $3,390 per ounce, largely as central banks and BRICS nations increased their gold reserves. According to Ardoino, this move towards gold reflects a deepening fear surrounding U.S. debt levels and the stability of fiat currencies.
The Audit Dilemma
Tether has long faced criticism for the lack of a full independent audit. Despite promises and pressure from U.S. regulators, the company has yet to provide transparent, third-party verification of its reserves. This missing audit remains the 'elephant in the room.' Some skeptics see the gold vault announcement as a distraction tactic—a way to shift public focus while leaving deeper concerns unresolved.
Tether’s gold move aligns with global trends and may prove to be a smart hedge in a turbulent economic landscape. However, it does not resolve the stablecoin's long-standing credibility issues. Until Tether undergoes a complete, independent audit, its claims of backing—whether with gold or treasuries—will continue to face scrutiny from the crypto community and regulators alike.
