Elemental Royalty: Investors can choose Tether Gold (XAUT) as a dividend payment

According to Decrypt, Colorado-based mining rights company Elemental Royalty announced on Tuesday that it will allow investors to receive dividends in the form of Tether's gold-backed stablecoin XAUT. This move is seen as the first real-world application of tokenized gold in traditional corporate finance. Elemental expects to distribute a total dividend of 12 cents per share to shareholders through several quarters of installment payments.

Investors can still choose the traditional cash dividend method, but Elemental CEO David Cole stated, "Offering Tether Gold physical token dividends further highlights Elemental's differentiated positioning as a forward-looking investment company." Tether CEO Paolo Ardoino commented that this marks a significant advancement in the gold industry, showcasing how tokenized assets can unlock new financial models that were previously difficult to access.

As of the time of writing, the market capitalization of XAUT is approximately $2.2 billion. With gold prices continuing to strengthen, the token's market cap reached a historic high of $3.5 billion earlier this month.