According to Foresight News, Tether's CEO Paolo Ardoino revealed in an interview that the stablecoin issuer holds $8 billion worth of gold in its own vault located in Switzerland. The company has chosen not to disclose the exact location or the establishment date of the vault for security reasons. Tether's decision to maintain its own vault, rather than paying traditional vault operators in the precious metals industry, was driven by cost considerations.
The gold reserves held by Tether are comparable in value to the total precious metals and other commodities held by UBS Group, one of the few major gold trading banks that disclose such information in their quarterly accounts. This makes Tether one of the largest holders of gold globally, outside of banks and nation-states.