Tether Seeks $200M to Build Gold Treasury Company

Tether, the company behind the world’s largest stablecoin USDT, is raising at least $200 million to create a new company focused entirely on tokenized gold.

The project, announced on October 3, 2025, represents a major push into real-world assets beyond traditional cryptocurrency.

The treasury company will buy and hold large amounts of Tether Gold (XAUt), a digital token where each unit represents one ounce of physical gold stored in Swiss vaults. Tether is partnering with Antalpha Platform Holding, a financial services firm connected to Bitmain Technologies, the company that produces 82% of the world’s Bitcoin mining equipment.

What Makes This Deal Important

This $200 million raise shows how companies are moving beyond just holding Bitcoin or Ethereum. More than 80 digital asset treasury companies launched in 2025, following the model created by Strategy (formerly MicroStrategy). But Tether’s focus on gold rather than cryptocurrency sets it apart.

XAUt became the largest tokenized gold product on the market. On October 1, 2025, it crossed the $1 billion milestone, driven by gold prices hitting record highs above $3,800 per ounce. Current market data shows XAUt with around $960 million in market capitalization. Global gold investment jumped 46% this year as people look for safe places to put their money during uncertain times.

Each XAUt token can be traded on blockchain networks like Ethereum, making it easier to buy and sell compared to physical gold bars. Holders can also redeem their tokens for actual gold if they want.

The Antalpha Partnership

Tether already owns 8.1% of Antalpha after the company went public in May 2025. On September 29, the two companies announced an expanded partnership through Antalpha’s RWA Hub, which stands for Real World Asset Hub.

Source:@AntalphaGlobal

This hub lets people borrow money using their XAUt tokens as collateral, similar to how someone might take out a loan against their house. Antalpha also plans to open physical vaults in major cities worldwide where people can exchange their digital tokens for actual gold bars.

“When people walk into a jewelry store and can exchange Tether Gold for gold bars, digital assets will become more ‘tangible’ for many,” said Paul Liang, Antalpha’s Chief Financial Officer.

Tether’s Bigger Strategy

This gold treasury is part of Tether’s larger plan to expand beyond its core stablecoin business. The company already holds $8.7 billion worth of gold on its balance sheet and has invested in Bitcoin mining, payments, energy, and artificial intelligence.

Tether CEO Paolo Ardoino has been vocal about gold’s value as a reliable asset. The company also invested in Twenty-One Capital, a Bitcoin treasury firm, alongside Bitfinex and SoftBank earlier this year.

Separately, Tether is reportedly trying to raise money at a $500 billion valuation, which would make it one of the world’s most valuable private companies. The company’s USDT stablecoin has a supply of approximately $175 billion, making it the dominant player in cryptocurrency trading.

How XAUt Compares to Competitors

XAUt’s main competitor is Paxos Gold (PAXG), which hit $1 billion in value a month earlier in September 2025. The two tokens work differently in important ways.

PAXG is regulated by New York’s Department of Financial Services and provides monthly reports audited by major accounting firms. It only runs on the Ethereum blockchain and has over 74,000 holders with about $67 million in daily trading.

XAUt operates from El Salvador with less strict U.S. oversight. It provides quarterly reports through BDO Italia. However, it works on six different blockchains including Ethereum, Tron, TON, Arbitrum, Polygon, and Hyperliquid. It has about 12,000 holders with $23 million in daily trading, suggesting larger investors own most of the tokens.

The regulatory differences matter because Tether has faced criticism in the past about transparency. The company has promised audits for years but hasn’t delivered them yet, though CEO Ardoino said in recent weeks they’ve been talking with auditing firms.

Why Digital Gold Matters Now

The tokenized gold market reflects growing interest in putting real-world assets on blockchains. This makes these assets easier to trade, divide into smaller pieces, and use in financial products.

Gold prices have climbed steadily in 2025, rising 48% since January. XAUt’s market value has more than doubled in the same period. Central banks worldwide bought over 1,000 metric tons of gold in 2024 for the third year in a row, showing continued demand from major institutions.

For Tether and Antalpha, the $200 million treasury creates a large buyer that can improve market liquidity and attract more institutional investors. Having a dedicated company focused on accumulating XAUt addresses concerns about whether there’s enough trading volume for large purchases.

The partnership also connects two powerful players in digital assets: Tether dominates stablecoins while Bitmain controls most Bitcoin mining equipment production through its relationship with Antalpha.

The Bottom Line

Tether’s $200 million gold treasury marks a turning point for tokenized commodities. As more companies explore putting real assets on blockchains, gold stands out as a proven store of value that people already understand and trust.

Whether this model succeeds depends on several factors: Can XAUt maintain enough liquidity for large trades? Will Tether improve its transparency to attract cautious institutional investors? Can Antalpha actually build the global vault network it’s promising?

The answers will shape not just Tether’s future, but the broader question of how traditional assets and blockchain technology come together. For now, the company is betting big that digital gold represents the next frontier in cryptocurrency’s evolution beyond speculative tokens into tangible value.