Physical Address
304 North Cardinal St.
Dorchester Center, MA 02124
Cryptocurrency giant Tether Holdings has disrupted the burgeoning gold market by amassing massive amounts of the metal over the past year. According to CEO Paolo Ardoino, the company offering the stablecoin has about 140 tons of gold.
in Interview with Bloomberg Arduino said that Tether wants to continue to increase its profit margin by holding gold, and compete with banks in the sale of bullion.
He said, “Soon we will be one of the “gold central banks” in the world, as he said.
Tether quickly bought gold last year
Bloomberg reported in a report on Wednesday that the cryptocurrency company bought more than 70 tons of gold last year for its reserves and its gold-backed stablecoin XAUT.
He added that the amount of gold he got was more than what was announced by the three biggest ETFs.
With 140 tons of gold reserves, Tether’s gold bullion assets are worth $23 billion at current market prices, the largest well-known asset outside of those that have central banks, ETFs and ordinary banks.
Arduino said that the company collects more than one ton of gold per week. “It’s still ongoing,” he said, adding that Tether plans to continue doing so “definitely over the next few months.”
Ardoino added: “Of course, we will decide according to the market conditions, but yes, I think we will continue this way. Maybe we will reduce the speed of purchases, we don’t know yet. We will measure the demand for gold on a quarterly basis.”
Tether stores gold in a Swiss nuclear bunker
The company that is issuing the USDT pays a lot of attention to the storage of large amounts of gold. The company has taken the “unusual step” of storing the precious metal in a nuclear storage facility in Switzerland, protected by several layers of steel doors, Ardoino, 41, added.
“It’s like a James Bond place, it’s crazy,” he explained of the store.
Besides that, Tether is also looking to sell precious metals, competing with major players on Wall Street, including JPMorgan Chase & Co. It’s HSBC.
“Our goal is to have a stable, sustainable, long-term gold opportunity,” Ardoino said.
Following the news, the price of Tether’s gold-backed stablecoin XAUT rose 3.99% over the past 24 hours, according to More about CoinMarketCap . The currency exceeded its weekly (+8.88%) and monthly (+18.06%) gains amid the strength of the gold market in general.
The cryptocurrency company’s gold sales exceed countries such as Greece and Australia, placing it among the top 30 gold in the world.
A note Tether is quietly becoming one of the biggest players in the global gold market, with 140 tons of gold appeared for the first time Cryptonews Arabic.
