Sablecoin issuer Tether is set to recruit two metals trading veterans from HSBC to expand its bullion operations while gold trades above $4,100, according to Bloomberg.
The report noted that Tether held more than $12 billion in gold at the end of September, based on reserves reports, and has been adding metal through this year. The company reported about $13 billion in profit last year and is tracking higher in 2025.
HSBC Metals Leaders Join Tether’s Bullion Buildout
Vincent Domien is HSBC’s global head of metals trading and a board member of the London Bullion Market Association. Mathew O’Neill leads precious metals origination for Europe, the Middle East, and Africa. Both executives are serving notice periods before moving to Tether, according to the report.
HSBC runs a large precious metals franchise spanning futures, vaulting, and global logistics. Hiring two senior figures from that platform represents an effort to build internal execution and sourcing rather than relying only on external dealers.
Tether’s reserves include short-dated United States Treasuries alongside bullion. The firm also issues Tether Gold, or XAUT, with roughly $2 billion in circulation that its website says is backed by about 1,300 bars. Those tokens are separate from the gold held within USDT reserves.
XAUT Price (Source: CoinMarketCap)
A larger in-house metals function can change how purchases are timed, hedged, and settled. Execution quality, storage arrangements, and insurance terms become central for an issuer that must manage liquidity needs while maintaining clear reporting on holdings and valuation.
Gold Reserves And Market Effects For Stablecoins
Gold’s rally has been supported by central bank buying and demand for stores of value. A nonbank buyer with steady dollar liquidity can influence flows during active windows, including lending markets, lease rates, and the balance between futures and physical delivery.
For stablecoin users, reserve composition and disclosure sit at the core. More bullion introduces custody and transport considerations, so reporting on bar lists, audit procedures, and pricing sources helps users assess how metal supports the balance sheet through different market conditions.
XAUT and USDT serve different functions. XAUT offers exposure to allocated bars, while USDT targets dollar parity for payments and trading. Keeping those tracks distinct in disclosures reduces confusion about how each product is backed and how redemptions interact with underlying assets.
Future attestations and reserve updates will show whether the metals sleeve grows further and how Tether integrates the hires into daily operations. Any shift in mix across Treasuries, gold, and other assets will be watched for effects on liquidity, settlement, and risk controls.
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