TLDR
- Aurelion bought $134 million in Tether Gold, now backing their digital treasury.
- Tether Gold represents physical gold, fully backed by seven tons since 2020.
- Aurelion raised $150 million through a PIPE and debt facility for growth.
- Aurelion’s CEO sees tokenized gold as key for stability, efficiency, and yield.
Prestige Wealth, soon to be renamed Aurelion, has made a significant move in the digital asset space by acquiring $134 million worth of Tether Gold (XAUT) for its corporate treasury. This marks a pivotal moment for the firm, as it becomes the first Nasdaq-listed treasury to exclusively hold tokenized gold. The acquisition follows a $150 million fundraising round, further solidifying Aurelion’s commitment to combining physical gold stability with blockchain technology.
Aurelion’s Strategic Move into Tether Gold
Aurelion, formerly known as Prestige Wealth, announced the purchase of $134 million worth of Tether Gold (XAUT) at an average price of $4,021.81 per token. Tether Gold represents one troy ounce of gold stored in Switzerland, with each token fully backed by physical gold. The acquisition follows the company’s recent shift from its ticker symbol PWM to AURE, a precursor to its planned renaming to Aurelion, pending regulatory approval.
The move aligns with Aurelion’s vision of merging the stability of physical gold with the efficiency of blockchain technology. Aurelion’s CEO, Björn Schmidtke, highlighted the importance of this acquisition, noting that it redefines modern digital treasury by offering daily on-chain verification and regulatory compliance. “This structure offers not only transparency but also the potential for yield generation,” Schmidtke said in the press release.
Record Gold Prices Support Strategic Timing
Aurelion’s purchase comes at a time when the price of gold is experiencing a significant rally, with the metal recently surpassing all-time highs above $4,100 per ounce. Gold has risen over 57% year-to-date, making it an attractive asset for investors seeking stability amid global financial uncertainties. Aurelion’s decision to allocate a substantial portion of its treasury to Tether Gold reflects the growing demand for tokenized gold as an asset class.
Since its launch in 2020, Tether Gold has accumulated approximately seven tons of physical gold backing. This development positions Tether Gold as one of the leading tokenized gold assets in the market, offering investors exposure to gold while leveraging the transparency and efficiency of blockchain technology.
Financing Round and Strategic Partnerships
The $134 million Tether Gold acquisition follows Aurelion’s successful $150 million financing round completed in early October. The round consisted of a $100 million private investment in public equity (PIPE) and a $50 million debt facility. Institutional digital asset financing firm Antalpha played a significant role in the financing, contributing $43 million in the PIPE and securing a controlling voting stake in Aurelion.
Other notable investors in the round included Tether’s XAUT issuing entity, TG Commodities, which invested $15 million, and Kiara Capital, which contributed $6 million. This diverse mix of accredited investors, along with Antalpha’s growing involvement in the project, suggests strong institutional confidence in Aurelion’s future direction and its focus on tokenized gold.
The Future of Tokenized Gold and Digital Treasuries
Aurelion’s move into Tether Gold is seen as part of a broader trend toward integrating traditional assets with blockchain technology. By embracing tokenized gold, Aurelion is positioning itself at the intersection of digital finance and traditional asset management.
The company’s strategic focus on tokenized gold reflects a growing interest in secure, blockchain-based assets that can be easily verified, traded, and stored, all while maintaining the stability of precious metals like gold.
With Aurelion’s significant acquisition of Tether Gold, the firm is setting a clear path for future growth, merging the world of digital finance with the enduring value of gold.
