Central banks are no longer the only major buyers in the gold market. Tether, the issuer of the USDT stablecoin, generated a net operating profit of $1.5 billion in the second quarter of 2026 and allocated part of the proceeds to buy an additional 14 tons of physical gold.
Recent reports show Tether’s total assets under management have reached $187.7 billion, backed by $4.1 billion in excess reserves. The primary driver of its profitability is not crypto transaction fees, but rather yield from its US Treasury portfolio and short-term repo operations. This substantial exposure to short-term debt leaves Tether’s bottom line sensitive to the Federal Reserve’s policy direction.
In the crypto sector, the company’s dominance continues to solidify. Circulating USDT supply reached $184.6 billion by the end of June 2026, granting Tether more than a 60% share of the global stablecoin market. The company also reported onboarding 30 million new users worldwide during the second quarter.
Gold, Bitcoin, and Loan Reductions
While USDT remains its flagship offering, Tether’s balance sheet highlights an ongoing diversification strategy. Following its latest purchase, the company’s physical gold reserves have exceeded 146 tons. According to a report by WatcherGuru on X, the gold stash is valued at $18.8 billion. Alongside gold, Tether held roughly $5.8 billion in Bitcoin as of late June.
In tandem with this asset accumulation, Tether began pulling back on its lending activities, reducing its secured loan portfolio by $2.4 billion over Q2. Details surrounding these operations remain undisclosed; the company did not reveal the counterparties involved or the types of collateral backing the transactions.
The firm also introduced USAT, a stablecoin product tailored for the US market. The token launched on Celo as its second mainnet deployment after Ethereum. Enabled by Celo proposal CIP-64, users can mint USAT without relying on third-party bridges and use the token directly to pay for gas fees.
Expansion into Africa Amid Ongoing Audit Wait
Tether’s expansion is also reaching into traditional financial infrastructure. On July 28, the company signed a memorandum of understanding with Kenya’s Nairobi Securities Exchange (NSE) to explore blockchain-based market infrastructure, tokenized securities, and digital asset education.
As of this writing, the agreement does not authorize the issuance of digital securities or mandate USDT adoption on the exchange. Any tangible rollout remains subject to approval from local regulators.
While Tether pushes into Africa and accumulates gold reserves, market participants are still awaiting the fulfillment of a long-standing commitment. The company has stated it is preparing for a comprehensive audit by a Big Four accounting firm. For holders of the multi-hundred-billion-dollar stablecoin, the key question remains when that audit will finally be delivered, as Tether has yet to publish a firm timeline.
Reported by crypto.news.
Read also: What Is DeFi (Decentralized Finance)?
Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
