Tether Holdings stores 80 tons of gold worth $8 billion in a private vault in Switzerland. It is owned and controlled by the company. The exact location or time of construction of the storage facility is not disclosed. By Tether moved to El Salvador at the beginning of the year.
The company is known as the issuer of the largest stablecoin USDT. Currently, there are about $159 billion in USDT tokens in use worldwide. The company receives real dollars when users purchase tokens and then invests these funds in assets such as US Treasury bonds and precious metals.
As of March, gold and other commodities accounted for almost 5% of its reserves. In fact, Tether has almost as much gold as UBS Group AG, a large Swiss bank that also holds gold and publicly discloses this information.
Most companies that own gold use external storage services and pay storage fees. But Tether decided to build its own vault to save money.
Tether also offers a product called XAUT. This is a digital token backed by real gold. Each XAUT token represents one ounce of gold. Holders of these tokens can exchange them for physical gold in Switzerland. So far, the company has issued tokens backed by 7.7 tons of gold, worth about $819 million.
Source: Bloomberg
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