Tether Drops Gold Traders Months After HSBC Hires

• Tether dismisses senior HSBC hires, reversing plans to build a competitive gold trading desk.

• Firm still holds 140 tons of gold but faces challenges entering established bullion markets.

• Move comes amid audit efforts, funding plans, and ongoing changes in financial strategy.

Tether has dismissed two senior gold traders it recruited from HSBC in late 2025, reversing a key part of its expansion strategy. According to Bloomberg, Vincent Domien and Mathew O’Neill left the firm just months after joining. The move follows Tether’s push into bullion markets while holding roughly 140 tons of physical gold.

High-profile Hires Exit Abruptly

Vincent Domien previously served as global head of metals trading at HSBC and sat on the LBMA board. Mathew O’Neill led precious metals origination across Europe, the Middle East, and Africa. Both joined Tether to strengthen its gold trading desk under CEO Paolo Ardoino.

However, their departure came without a public explanation. Neither Domien nor O’Neill has commented on the exit. Tether has also not disclosed further details regarding the decision.

Previously, Ardoino said these hires would help build a competitive trading operation. The company aimed to challenge large banks active in global bullion markets. That plan now appears to have shifted.

Gold Strategy Faces Adjustment

Meanwhile, Tether continues to hold a large physical gold reserve. The company accumulated around 140 tons, valued near $24 billion. This stockpile places it among the largest private bullion holders.

Earlier, Tether signaled plans to actively trade these reserves. The strategy involved capturing price differences between futures and physical markets. Additionally, the firm explored lending out its gold to generate revenue streams.

However, the physical gold market relies on established relationships. Banks, refiners, and dealers dominate these networks. Integrating into this system may present operational challenges for newer entrants.

Broader Financial Changes Underway

Meanwhile, Tether is undergoing wider financial adjustments. The company has engaged KPMG to conduct its first full audit. This process follows the launch of USDT and efforts to improve transparency.

Similarly, Tether explored raising up to $20 billion in external funding. It also considered tokenizing parts of its operations. These plans remain paused pending audit outcomes.

Despite leadership changes, Tether continues issuing its gold-backed token, XAUT. The product accounts for about 60% of the gold-backed stablecoin market.