Tether Snags 26 Tonnes Gold in Q3, They’re The Biggest Non-Sovereign Gold Owner

In a fascinating twist of financial fate, cryptocurrency companies are elbowing their way into the gold market alongside major central banks, with stablecoin giant Tether definitely stealing the spotlight.

Tether’s purchase of 26 tonnes of gold in the third quarter is nothing short of a power move, overshadowing even the likes of Kazakhstan’s 18 tonnes and Brazil’s 15.

As experts highlighted, this accumulation pushed Tether’s total gold holdings to 116 tonnes, crowning it the largest non-sovereign gold owner on Earth.

Investors are broadening their assets

Tom Lee, a renowned crypto analyst, believes this growth in gold buying by stablecoin issuers like Tether is undergirding Bitcoin’s long-term price support.

According to Lee, the world’s most famous cryptocurrency could rocket to $100,000 before the year is out, fueled partly by these strategic gold purchases.

Far from being a case of gold and Bitcoin being rivals, Lee sees stablecoin gold buying as a signal of investors broadening their assets, strengthening Bitcoin’s foundation in this digital gold rush.

Worries over global stability = appetite for safe havens

What’s really shaking up the markets is that Tether accounted for about 12% of total central bank gold demand in the third quarter of the year, and honestly, that’s a startling figure for a private entity.

Analysts think that this level of buying is reshaping market dynamics and how investors perceive value storage in cryptocurrencies versus traditional assets.

And don’t forget, gold’s price itself has smashed records, vaulting past $4,190 an ounce, driven by a smart cocktail of worries over global stability, appetite for safe havens, and whispers of potential interest rate cuts.

Alliance?

And it looks like the wider crypto market has finally woken up from its slumber, too. Or at least, market observers shared this opinion.

Bitcoin’s climb past $91,000 reignited enthusiasm, with bulls eying critical resistance near $93,256.

Traders are watching the charts like hawks as the tug of war between investors’ fear and greed plays out.

This fascinating tug between crypto firms and old-school central banks, with gold’s glittering presence at center stage, underscores a shifting narrative in how money is stored and valued.

As stablecoins like Tether scoop up physical gold, and Bitcoin rides this momentum, the age-old metal and new-age digital assets forge an awkward but potent alliance.