Tether Expands Bitcoin and Gold Investment Strategy by Acquiring a 31.9% Stake in Elemental Altus Royalties

Tether, the company behind the world's largest stablecoin USDT, has significantly expanded its Bitcoin-and-gold investment strategy by acquiring a 31.9% stake in Canadian-listed gold royalty firm Elemental Altus Royalties Corp.

Tether, the company behind the world’s largest stablecoin USDT, has significantly expanded its Bitcoin-and-gold investment strategy by acquiring a 31.9% stake in Canadian-listed gold royalty firm Elemental Altus Royalties Corp. (TSX: ELE)(NASDAQ: ELEFU).

The stablecoin company has been accumulating Bitcoin and Gold aggressively over recent months. This is likely a part of the firm’s strategy to bolster the USDT stablecoin.

On June 10, 2025, Tether Investments obtained 78,421,780 Common Shares of Elemental Altus Royalties Corp. This amounts to roughly 31.9% of Elemental’s issued and outstanding common shares. According to credible sources, a private agreement allegedly made this deal offshore.

The stablecoin firm also entered into an option agreement with AlphaStream Limited to acquire an additional 34,444,580 shares after October 29, 2025, provided Elemental approves it. If the deal is successful, the stablecoin firm will be able to diversify its investment in gold further.

Commenting on the developments, Tether CEO Paolo Ardoino stated that Tether is investing in gold and Bitcoin as a part of its long-term strategy to build a stronger and clearer financial system for the future. Ardoino acknowledged that Bitcoin is the best hedge against inflation, but gold has remained a solid investment to preserve value throughout history.

The announcement came after Tether Group had gone public on its holdings of more than 100,000 Bitcoins, an estimated total of physical gold of nearly 80 tons, and its very own Tether Gold, a token linked to physical gold.

Ardoino added that they support financial systems that are supported by actual assets rather than promises. For him, their bet on Elemental is consistent with their continuing belief that tangible assets like Bitcoin and gold will act as backing for the most sustainable forms of digital value.

Following Tether’s move, analysts anticipate that institutional investors are accumulating both Bitcoin and Gold, the only 2 assets with over 40% returns in the last 12 months in investments. However, the first time this has happened, Bitcoin recently overtook Gold in US ownership. Therefore, it appears to be a good idea for the USDT issuer to spread funds within these two classes of assets.

Tether’s investment in Elemental Altus to enhance digital financial products

Elemental Altus Royalties provides Tether exposure to global gold production using a royalty and streaming model without the direct operational risk of mining. This fits with Tether’s desire for strategic, low-risk exposure to real-world assets that improve the transparency and stability of digital financial products.

Tether Investments could potentially take a more active role in engagement with the management of Elemental and its board, searching for the ways Elemental can work together, take part in governance, and develop long-term capital strategy, subject to regulations framework as well as market conditions.

The transaction was conducted by Canadian securities laws, including National Instrument 62-104 – Take-Over Bids and Issuer Bids, and was exempt from the formal takeover bid legislation.

It is worth noting that Tether Investments capitalizes on profits from Tether and its extra reserves for diverse investments in technology, infrastructure, and impactful use cases.

Its portfolio includes companies in artificial intelligence, financial services, energy, biotech, education, and digital media. They also have significant shares in commodities, remittances, and sports and entertainment industries.

Tether Investments prioritizes companies with potential to increase access, efficiency, and resilience in emerging and developed markets. This investment strategy complements the larger goal of Tether Group to support decentralized systems, stimulate infrastructure resilience, and increase the real-world availability of open and transparent technologies.