Tether’s Growing Gold Reserves Challenge Central Bank Norms
Jefferies reported that Tether has become a notable buyer in the gold market, reducing available supply and helping to firm prices as dealer inventories tighten. Market participants pointed to the issuer’s continued purchases as a factor lifting near-term sentiment toward gold, with traders watching flows for clues on positioning and short-term volatility.
Beyond immediate price effects, Tether’s bullion accumulation matters for policy and market structure. A private stablecoin issuer holding sizable physical reserves blurs lines traditionally occupied by central banks, prompting questions about transparency, reserve composition and potential regulatory scrutiny. If USDT’s buying persists, it could sustain upward pressure on gold or amplify liquidity strains, making both traders and regulators more attentive to how crypto firms influence real-world asset markets.