- Tether added about 27 metric tons of gold in Q4 2025, near Q3’s ~26 tons; 2025 buying was 116 tons per BeInCrypto, valued around $4.4 billion.
- Purchases are funded by yield on USDT reserves like US Treasury bills; USDT is about $187 billion, with Q3 showing $12.9 billion in gold (~104 tons), or 7% of backing.
- XAUT holds 520,089 fine troy ounces in Swiss vaults; Tether says XAUT has ~60% of gold-backed stablecoins, a market that grew from ~$1.3B to >$4B in 2025; Poland added 35 tons in Q4 to 550 tons.
Discussion around tether gold reserves has intensified after the stablecoin issuer reported another large increase in its bullion holdings in late 2025. Tether has been steadily converting profits linked to its stablecoin business into physical gold, building a position that analysts and market observers say now rivals major official-sector buyers in size and pace.
Tether gold reserves and the pace of buying in 2025
Tether said it added roughly 27 metric tons of gold in the fourth quarter (Q4) of 2025. That rate was close to its third-quarter (Q3) accumulation, which analysts estimated at around 26 tons. In a late November report, BeInCrypto said Tether bought 116 tons of gold across 2025, exceeding the buying activity of central banks during that year.
Final figures for central bank purchases were still not available. Even so, Bitwise Chief Investment Officer Matt Hougan argued that Tether is likely to rank among the three biggest gold buyers globally for the quarter. In a post on X, Hougan wrote that official data showed Tether purchased more gold than any central bank in Q3 2025, adding that Q4 could be close depending on final numbers, but that the company should still land in the top three.
The buying came as gold prices rose sharply. Spot gold was up 18% year-to-date, following a 64% gain in 2025. During that climb, gold moved through widely watched price levels of $3,000, $4,000, and $5,000 per ounce.
Against that market backdrop, Tether’s recent purchases were valued at about $4.4 billion, making the company a notable additional source of demand in a market described as already tight.
How Tether funds its gold accumulation
Unlike central banks, Tether is not buying gold as part of monetary policy decisions or balance-of-payments management. The company has linked its gold strategy to profits generated by backing USDT, its dollar-pegged stablecoin. Those profits are tied to interest-bearing reserve assets, including US Treasury bills.
With roughly $187 billion in USDT circulating, the yield from those reserve assets has supported continued accumulation. Observers characterized this shift as turning Tether into a hybrid of a stablecoin issuer and an asset manager, with a growing role as a large gold holder. Even with these additions, gold remained a minority portion of the stablecoin’s backing. In Tether’s Q3 reserve disclosure, the company reported gold holdings worth $12.9 billion as of the end of September, equal to roughly 104 tons at the time, while gold made up 7% of USDT’s backing and US Treasuries were the largest component.
Tether gold reserves and the role of XAUT
Tether’s bullion strategy has also been tied to its tokenized gold product, XAUT. The company said XAUT represents around 60% of the global gold-backed stablecoin market. That market grew from roughly $1.3 billion to more than $4 billion in 2025, according to the figures cited.
As of December 31, Tether reported holding 520,089 fine troy ounces of gold to back XAUT on a strict one-to-one basis. The gold supporting XAUT is stored in Swiss vaults that comply with London Good Delivery standards. Tether CEO Paolo Ardoino said in a statement that the company is operating at a scale that places the Tether Gold Investment Fund alongside sovereign gold holders, adding that such scale brings “real responsibility.” Ardoino also said XAUT is intended to “remove ambiguity at a time when confidence in monetary systems is weakening.”
A comparison highlighted how closely Tether’s buying now tracks official-sector activity. Poland’s central bank, described as the most active reporting buyer in the official sector, added 35 tons in Q4, taking its total gold reserves to 550 tons.
Conclusion
Tether’s steady build-up of bullion has put tether gold reserves in the same conversation as central bank activity, at least in terms of quarterly purchase volumes. The developments also underline a broader point raised by market observers: as stablecoins grow, their issuers can become lasting sources of gold demand that operate alongside, and at times compete with, nation-states. The questions flagged in the source material extend beyond how much gold Tether buys next, focusing instead on what it means when private issuers of digital dollars accumulate assets at a scale typically associated with sovereign institutions, and how such private balance sheets would handle shocks of a similar magnitude.
Disclaimer
The information provided in this article is for informational purposes only and should not be considered financial advice. The article does not offer sufficient information to make investment decisions, nor does it constitute an offer, recommendation, or solicitation to buy or sell any financial instrument. The content is opinion of the author and does not reflect any view or suggestion or any kind of advise from CryptoNewsBytes.com. The author declares he does not hold any of the above mentioned tokens or received any incentive from any company.
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