Tether Investment, the investment arm of the stablecoin giant Tether, has acquired a substantial stake in Elemental Altus Royalties Corp., a Canadian company that specializes in gold royalties on June 10, 2025. During this process, Tether acquired 78,421,780 common shares which represents about 31.9% of Elemental’s outstanding shares. This is a major milestone for the stablecoin issuer company as they integrate stable, long-term assets like gold and Bitcoin into its ecosystem.
Tether Signs Option Agreement with Alpha Stream Limited
In addition to this share purchase, Tether signed an option agreement with Alpha Stream Limited and its subsidiary Alpha 1 SPV Limited. This agreement grants the issuer an option, but not an obligation, to acquire an additional 34,444,580 Elemental shares after October 29, 2025, subject to approval certain conditions. If exercised, this will likely increase the issuer’s stake in Elemental to about 47.7%, bringing it closer to controlling interest.
CEO Speaks
Paolo Ardoino, CEO of Tether, emphasized the importance of this move in building a more resilient financial system. “Just as Bitcoin provides the ultimate decentralized hedge against monetary inflation, gold continues to be a time-tested store of value. By gaining exposure to a diversified portfolio of gold royalties through Elemental, we are strengthening the backing of our ecosystem while advancing Tether Gold and future commodity-backed digital assets. This is not just about investment—it’s about building financial infrastructure for the next century,” Ardoino said.
Tether Dual-Pillar Approach
The company’s approach indicates a dual-pillar strategy that is focused on Bitcoin and gold. The company already holds over 100,000 Bitcoin and nearly 80 tons of physical gold, backing its Tether Gold (XAUT) token. The Elemental investment provides exposure to global gold production through a royalty and streaming modern, which mitigates operational risks associated with mining.
As the CEO stated, with this move the company will have a stronger asset backing and will increase its exposure to real-world, revenue generating assets. It will stabilize the issuers reserves and reduce reliance on any single asset class. The company may also benefit from the ongoing royalty income, supporting its balance sheet and reserve transparency. This move may also boost investor confidence.
This transaction complies with Canadian securities regulations and was exempt from formal takeover bid rules. There is also a possibility that the issuer company may also explore further collaboration with Elemental’s management and board, potentially influencing governance and long-term capital strategies.
Based in El Salvador, Tether Investments continues to expand and diversify its portfolio across sectors such as artificial intelligence, energy and commodities. This move supports the group’s broader mission that is to build transparent, decentralized financial infrastructure that bridges digital assets with real-world value.
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