Tether Builts $8B Gold Empire In A Secret Swiss Vault

Stablecoin giant Tether has stored a whopping $8 billion worth of gold in a private vault somewhere in Switzerland.

The company — best known as the issuer of USDT, the world’s largest stablecoin — now directly holds the vast majority of an 80-ton gold stockpile.

Yet gold accounts for just 5% of Tether’s $112 billion reserve portfolio, based on its latest March 2025 attestation.

In an interview, CEO Paolo Ardoino flaunted the company's reserves, saying

“We have our own vault. I believe it’s the most secure vault in the world.”

Tether’s USDT recently hit a $159 billion market cap, commanding a dominant 62.43% share of the entire $255 billion stablecoin market.

Tether’s growing gold stash signals a broader move away from pure fiat exposure.

Demand Of Gold Spikes Amid Current Economic Instability

Ardoino emphasized gold’s appeal as a safer and more stable asset compared to fiat currencies of any national currency — particularly during times of economic or regulatory uncertainty.

“Eventually, if people become concerned about rising U.S. debt levels, they may start looking for alternatives.”

This sentiment aligns with broader global trends, which shows that the prices of gold have surged amid renewed investor interest in gold ETFs and extensive purchases of gold made by central banks, especially from BRICS nations.

Ardoino even noted that almost every single central bank in the BRICS countries is buying gold.

Owning a Private Vault Cuts Long-Term Custody Costs

Beyond diversification, Tether also flaunts its ability to own its own vault, calling this move financially strategic.

Tether had been widely known for its association with gold, launching a gold-based token, Tether Gold, that recently showed stable gains.

Ardoino pointed out how the custody fees charged by third-party vault operators can become prohibitively expensive at scale — especially if demand for Tether Gold continues to grow.

“If Tether Gold ever reaches $100 billion in circulation, paying 50% in custody fees would be a massive cost. Thus owning our own vault makes custody far more efficient as we scale.”

Tether Gold (XAUT), which has seen stable and consistent gains, remains one of the few precious metal-backed tokens in the market with real-world backing — a factor that may increasingly appeal to investors seeking decentralized safe-haven assets amid global macroeconomic shifts.