Tether Plans up to 15% Gold Allocation as Yellow Metal Hits $5,280 All-Time High

Core Insights - Tether plans to increase its portfolio allocation to gold, potentially holding more gold than Bitcoin, as gold prices reach new highs while Bitcoin lags behind [1][5] Group 1: Tether's Investment Strategy - Tether intends to allocate between 10% to 15% of its portfolio to gold and 10% to Bitcoin, according to CEO Paolo Ardoino [1][2] - The company has been purchasing large amounts of gold to back its stablecoins, USDT and XAUT, as part of its ongoing strategy [4] Group 2: Market Context - Gold prices have recently crossed $5,000 per ounce, currently trading at $5,280 per ounce, marking consistent all-time highs [5] - In contrast, Bitcoin is trading at $89,500, approximately 30% below its all-time high of $126,000, indicating a price consolidation phase [6] Group 3: Tether's Product Offering - Tether is the issuer of the largest USD and gold stablecoins by market cap, USDT and XAUT, respectively [3] - The company has announced the launch of USAT, a regulated US-based dollar stablecoin, which may increase competition with Circle's USDC [3]