Tether, the issuer of the market’s largest stablecoin by trading volume, USDT, is reportedly in discussions to invest in gold mining. The company aims to channel its substantial cryptocurrency profits into the metals market. 

According to a recent Financial Times report, Tether is exploring opportunities across the entire gold supply chain, including mining, refining, trading, and royalty companies. 

Gold As Foundational Asset

Paolo Ardoino, Tether’s CEO, has expressed a strong affinity for gold, referring to it as “natural Bitcoin.” In a speech earlier this year, he articulated a perspective that contrasts with the common view of Bitcoin as “digital gold,” instead emphasizing that gold represents “a foundational asset.”

Per the report, Tether’s interest in gold has surprised many within the traditional mining sector, raising questions about the company’s strategy and its potential for success. 

One mining executive remarked on Tether’s unconventional approach, suggesting that while the company appreciates gold, it lacks a clear strategy for navigating this established industry.

As one of the most profitable entities in the cryptocurrency space, Tether boasts a market capitalization of $168 billion. The company generated $5.7 billion in profits in the first half of this year and is also known as one of the largest holders of US Treasuries, earning interest from these investments to support its stablecoin.

Tether has already made significant strides in the gold market, Go to Source to See Full Article
Author: Ronaldo Marquez