What Tether’s weekly gold buys mean for the XAU price

Tether is buying about 1–2 tons of physical gold each week and CEO Paolo Ardoino says the firm plans to lift gold to roughly 10–15% of its investment portfolio, a move that is turning the stablecoin issuer into a meaningful new force in the bullion market, Ardoino told Reuters. Reporting and disclosures suggest Tether already holds roughly 130–140 metric tons of physical gold, valued at about $23–24 billion, making it one of the largest known private holders outside banks and governments.

With USDT circulation near $186 billion, the shift toward a larger gold allocation implies several billion dollars of incremental purchases if portfolio growth and retained profits continue. At an annualized pace of roughly 50–100 tons, Tether’s demand would be about 1–2% of yearly global supply (global mine production is roughly 3,500–3,600 tons per year, plus 1,200–1,500 tons from recycling).

Because Tether is accumulating deliverable metal and vaulting it rather than rolling paper exposure, its buying draws from above-ground stocks and can tighten short-term physical liquidity. The buying is described as supportive rather than market-repricing: predictable, cumulative purchases can help establish a price floor and, in isolation, might add around 1–3% upside over short periods—especially when the dollar weakens, real yields fall, or geopolitical risk rises.

Ardoino’s framing of gold as a reserve asset may also signal to other investors and amplify moves beyond Tether’s direct flows.

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