Tether Leads Most Central Banks In Buying Gold

27th January 2026 – Tether is now one of the world’s most aggressive buyers of gold, surpassing even central banks in recent quarters. The stablecoin giant has quietly turned a portion of its USDT yield into physical gold, buying at a scale that’s now reshaping global demand dynamics.

In Q4 2025 alone, Tether added 27 metric tons of gold to its reserves. That followed a similar 26-ton haul in Q3, according to analysts. One November estimate even pegged Tether’s 2025 gold purchases at 116 tons—more than any central bank over the same period.

Final central bank figures for Q4 are still pending, but Bitwise CIO Matt Hougan noted that Tether likely landed in the global top three. “Tether bought more gold than any central bank in Q3. It’ll be close again in Q4,” he posted on X.

From Stablecoin Profits to Physical Gold

Tether is funding these purchases not through debt or taxes like traditional sovereigns, but by reinvesting yield from the nearly $187 billion worth of USDT it has issued. That yield comes from interest-bearing assets like U.S. Treasury bills.

With gold prices rising 64% in 2025 and another 18% in early 2026, Tether has been converting those stablecoin returns into bullion, now valued at over $4.4 billion. As prices broke past $3,000, $4,000, and $5,000 per ounce, the company became a key source of marginal demand in an already tight market.

This puts Tether in an unusual position. Unlike central banks, its buying isn’t driven by monetary policy. Instead, it’s part of a broader strategy to back its stablecoins with diversified assets—and potentially to shape the future of digital payments using gold.

Gold as Product, Not Just Reserve

The move isn’t just about reserves. Tether has also leaned heavily into tokenized gold through XAUT, its gold-backed stablecoin. As of December 31, 2025, XAUT’s supply had jumped 38% in just three months to 375,000 tokens. That means it grew five times faster than USDT in Q4.

Today, XAUT controls around 60% of the global tokenized gold market. The gold behind XAUT—currently 520,089 troy ounces—is stored in Swiss vaults that meet London Good Delivery standards.

Tether CEO Paolo Ardoino framed the move as a hedge against declining confidence in traditional monetary systems. He noted that XAUT was designed to provide clarity at a time when “confidence in monetary systems is weakening.”

“Scudo” and Gold for Everyday Payments

Tether is also pushing to make gold more usable in everyday transactions. Earlier this month, it introduced the “Scudo,” a new unit representing one-thousandth of a troy ounce of gold. The goal is to make gold spending easier by standardizing small-value payments.

This comes amid growing adoption. Tether sold 173,400 XAUT tokens in Q4, more than triple the amount sold over the previous six months. That batch alone was worth $882 million at the time of sale.

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A Private Company, A Sovereign Footprint

Tether’s rise as a gold accumulator reflects a broader trend: stablecoins are starting to shape global markets traditionally dominated by states. Poland’s central bank, the most active sovereign buyer in Q4, added just 35 tons over the same period.

While Tether’s strategy makes sense as reserve diversification, its scale raises questions. At what point does asset allocation begin to look like shadow monetary policy? And what happens if a private firm holding sovereign-scale gold faces a crisis?

Ardoino maintains that Tether will eventually undergo a full audit. For now, quarterly attestations from BDO Italia confirm its gold holdings. As of September 30, those stood at $12.9 billion, around 104 tons at the time and backed $181 billion in fiat-linked tokens.

What To Watch Next

Tether has already hinted at more. In September, it announced plans for USAT, a U.S.-regulated stablecoin backed by cash and Treasuries under the new GENIUS Act. Meanwhile, market watchers expect continued gold accumulation in 2026.

As stablecoins scale and issuers like Tether gain influence, the line between private finance and sovereign policy continues to blur. The market isn’t just asking how much gold Tether will buy next, it’s wondering what role stablecoin firms will play in shaping tomorrow’s financial infrastructure.