Tether CEO Paolo Ardoino declared in a recent X post that Bitcoin and gold will surpass all other currencies in longevity, reinforcing the stablecoin issuer's strategic reserve allocation approach observed over recent years.
Since May 2023, Tether has implemented a policy to dedicate up to 15% of net realized operating profits toward Bitcoin acquisitions for its reserves. These BTC additions supplement surplus holdings rather than directly backing circulating USDT tokens, positioning Bitcoin as a long-term value preservation asset for strengthening the company's financial foundation.
BTC and Gold as Complementary Reserve Assets
Gold constitutes the second crucial component in Tether's reserve strategy alongside Bitcoin.
The company issues Tether Gold (XAUt), a digital token fully backed by physical gold bars, reporting over 7.66 tons of allocated metal supporting outstanding tokens as of June 2025. Additionally, as reported by CoinDesk citing Financial Times sources, Tether has engaged in discussions regarding investments throughout the gold supply chain—spanning mining operations, refining processes, and royalty agreements—as part of its comprehensive diversification initiative.
Ardoino has previously categorized these assets collectively, referencing Bitcoin, gold, and real estate as inflation hedges while explicitly denying speculation about Tether reducing Bitcoin holdings to increase gold exposure, emphasizing the company's ongoing commitment to expanding its Bitcoin position.
The recent concise statement represents continuity rather than policy alteration—Bitcoin remains a strategically acquired asset using profits, while gold serves as a parallel reserve component through tokenization and potential upstream investments. The majority of reserves continue to be held in liquid instruments like U.S. Treasurys, according to regular attestations. Upcoming reserve reports, expected within weeks, will reveal potential adjustments to BTC and gold allocations.
Current MarketWatch data shows contrasting performance metrics: while the U.S. dollar index (DXY) has declined 8.88% year-to-date, Bitcoin (BTC-USD) and gold (XAU-USD) have appreciated 22.79% and 52.91% respectively, demonstrating their relative strength as alternative value stores.