Tether holds 116 tons of gold, equivalent to the reserves of the central banks of South Korea and Hungary

According to a report by Cointelegraph, a Jefferies analysis report shows that the stablecoin issuer Tether currently holds 116 tons of physical gold, making it "the largest holder of gold outside of central banks," with reserves comparable to those of central banks in countries like South Korea, Hungary, and Greece.

In the last quarter, Tether's gold purchases accounted for nearly 2% of global gold demand and nearly 12% of central bank purchases, and its aggressive acquisition activities may have impacted short-term market supply and investor sentiment. Investors cited by Jefferies believe that Tether plans to acquire another 100 tons of gold by 2025. With an expected profit of $15 billion this year, this goal seems within reach.

Additionally, Tether has invested over $300 million in precious metal producers and issued gold-backed tokens Tether Gold (XAUt), which has a market capitalization of $2.1 billion and has doubled its issuance in the past six months.