Tether Parts Ways with HSBC Gold Traders Months After Hiring

Tether Holdings SA has parted ways with two senior precious metals traders, Vincent Domien and Mathew O’Neill, just months after recruiting them from HSBC Holdings Plc as part of the stablecoin issuer’s plan to build a world-class gold trading floor.

The departures come as Tether holds approximately 140 tons of physical gold valued at roughly $24 billion, stored in a former Cold War nuclear bunker in Switzerland, making the firm one of the largest known holders of bullion outside central banks and commercial institutions.

Tether’s Gold Trading Ambitions Faced Integration Challenges

Vincent Domien, former global head of metals trading at HSBC and a board member of the London Bullion Market Association (LBMA), joined Tether in late 2025 alongside Mathew O’Neill, who had overseen precious metals origination across Europe, the Middle East, and Africa at the bank. The hires were intended to professionalize Tether’s bullion operations and help the company generate income through active management of its gold reserves.

CEO Paolo Ardoino had previously stated that the company needed to build the best gold trading floor in the world, positioning Tether to compete directly with banks such as JPMorgan and HSBC in bullion trading. The physical gold market, however, operates on longstanding relationships between banks, refiners, miners, and dealers, presenting integration challenges for a crypto-native company.

Tether bought over 70 tons of gold in 2025, outpacing nearly every central bank except Poland. The company had signaled it would actively trade its reserves to capture arbitrage between futures and physical prices, but bridging the gap between crypto treasury management and institutional bullion trading has proven difficult.

Tether Maintains Substantial Gold Reserves Despite Trading Desk Changes

Tether holds approximately 140 tons of physical gold, valued at approximately $24 billion. The company continues to issue Tether Gold (XAUT), which accounts for roughly 60% of the gold-backed stablecoin market. The stablecoin issuer also manages USDT, the world’s largest dollar-pegged stablecoin, with approximately $184 billion in circulation.

The significance of Tether’s gold holdings came into focus in March 2026 as gold headed for its worst monthly performance since 2008, falling alongside stocks and bonds in a selloff triggered by the Iran war. Higher interest rate expectations and selling by at least one central bank added further pressure, though Tether’s long-held gold position remains deeply profitable. Declines in both gold and Bitcoin are likely to have weighed on the company’s portfolio.

Tether stated in response to questions about the departures that it always strives to operate with a lean team and continuously optimize its operations, adding that it has been building a state-of-the-art gold team leveraging expertise from its recent investments. The company has not publicly explained the reason for Domien and O’Neill’s departures, and neither trader has commented.

Broader Gold Market Sees Talent Shifts amid Institutional Evolution

The hiring and subsequent departure of senior gold traders from Tether coincides with broader shifts in the bullion market. Trading houses have gone on a hiring spree, with Mercuria Energy Group bringing Benjamin Binet-Laisne from Goldman Sachs Group Inc. aboard and Gunvor Group hiring a slew of traders from various firms.

Tether’s rapid turnaround in its gold trading desk raises questions about how smoothly crypto-native companies can integrate traditional commodities talent. Whether Tether replaces the traders or restructures its gold desk entirely may signal how committed the firm remains to Ardoino’s vision of rivaling sovereign-scale gold holders.

The company has engaged a major accounting firm to conduct its first full financial audit. Its plans to raise as much as $20 billion in external funding are on hold pending the audit results.

FAQ

Why did Tether part ways with its HSBC gold traders?

Tether has not publicly explained the reason for the departures of Vincent Domien and Mathew O’Neill. The company stated that it always strives to operate with a lean team and continuously optimize its operations, but did not provide further details on the specific circumstances surrounding the traders’ departure.

How much gold does Tether hold and where is it stored?

Tether holds approximately 140 tons of physical gold valued at roughly $24 billion. The gold is stored in a former Cold War nuclear bunker in Switzerland, making the company one of the largest known holders of bullion outside central banks, exchange-traded funds, and commercial banks.

What is Tether Gold (XAUT) and how does it relate to the company’s gold holdings?

Tether Gold (XAUT) is a gold-backed stablecoin that accounts for approximately 60% of the gold-backed stablecoin market. The token is backed by physical gold held in Tether’s reserves, and the company has been building a gold trading desk to actively manage its substantial bullion holdings.