Tether has accumulated 116 metric tonnes of gold as of the end of the third quarter of 2025, placing the stablecoin issuer at a level comparable to the official reserves of South Korea and Hungary. This volume positions Tether as one of the largest private holders of physical gold globally, aligning digital-asset collateralization with sovereign-scale reserves.
Tether’s Gold Position Aligns With Sovereign Reserve Levels
The Jefferies report documents that Tether holds 116 metric tonnes of physical gold as of Q3 2025, a reserve comparable to that of South Korea (approximately 104.45 metric tonnes) and Hungary (between 110 and 116 metric tonnes). Of that total, 12 tonnes are allocated as direct collateral for XAU₮, linking physical reserves with the tokenized asset on Tether’s balance sheet.
The report estimates the total valuation of these reserves at $12–14 billion, placing Tether among the largest gold accumulators outside of central banks. The firm has expanded its operations with former senior precious-metals traders from HSBC, suggesting an intent to actively manage and optimize its physical gold position rather than merely store it.
Jefferies interprets the accumulation as a diversification strategy designed to support long-term stability across Tether’s stablecoin ecosystem. Tokenization allows physical gold to be represented and transferred digitally, and in this case, XAU₮ serves as a bridge between physical metal custody and blockchain settlement, with 12 tonnes confirmed as backing in the attestation.
The report also notes that a sustained pace of accumulation could act as structural support for the gold market. However, analysts highlight that a position of this scale held by a private entity raises liquidity, custody, and transparency considerations traditionally associated with central-bank reserves.
Tether’s 116-tonne gold portfolio introduces a private, crypto-native actor into a market dominated historically by sovereign institutions, reshaping discussions around collateral credibility, liquidity risk, and the intersection between digital tokens and physical reserve assets.
