Tether invests $89 million and becomes Elemental’s largest shareholder

• Stablecoin Tether expands exposure with gold investment
• Tether acquires 32% of Elemental for $89 million
• Gold-Backed Cryptocurrency Boosts Long-Term Strategy

Tether, the issuer of the USDT stablecoin and the XAUT gold-backed token, has confirmed the acquisition of 31,9% of Elemental Altus Royalties Corp., a Canadian precious metals royalties company. The deal, done through Tether Investments, the group's independent arm, involved 78,4 million common shares at a price of CAD 1,55 (US$ 1,14) each, totaling approximately US$ 89,2 million.

???? @Tether_to has acquired a 32% stake in Canadian precious metals royalty company @Elemental_Royal for $89M, supporting its strategy to integrate long-term, stable assets like gold and # Bitcoin into its ecosystem.

This investment gives Tether diversified exposure to global… pic.twitter.com/uZQg1zmsRs

— Mpost Media Group (@mpost_io) June 12, 2025

With this acquisition, Tether expands its presence in real assets, increasing its indirect exposure to global gold production. The royalty and streaming model adopted by Elemental allows financing to miners in exchange for revenue share or purchase rights to metals at reduced prices, avoiding the operational risks of mining.

The company highlighted that the transaction is in line with its strategy of integrating long-term stable assets such as gold and bitcoin into its decentralized financial ecosystem. Tether currently holds around 80 tons of physical gold and over 100.000 bitcoins in its portfolio.

Adding the previously held shares, Tether now owns 82,7 million shares of Elemental common stock, equivalent to approximately 33,7% of the company. According to a statement from Elemental, La Mancha Investments was the seller of the shares, with the deal being completed on June 10 via an offshore private transaction.

“Building on previous discussions with Tether, we are pleased to officially welcome Tether as the company’s new majority shareholder,” said Frederick Bell, CEO of Elemental.

Additionally, Tether has entered into an agreement with AlphaStream Limited, which grants the company the right to acquire an additional 34,4 million shares, valued at approximately $38,7 million. If the option is exercised after October 2025, the total stake could reach 47,7%.

“Tether’s growing investments in gold and bitcoin reflect our forward-looking strategy to build a more resilient and transparent financial system,” said Paolo Ardoino, CEO of Tether. “Our investment in Elemental complements our long-standing belief that tangible assets like bitcoin and gold will underpin the most durable forms of digital value.”