At what gold price does Tether’s USDT become balance-sheet insolvent? - Financial Times

The Financial Times is asking the wrong question. It's not about Tether becoming insolvent from gold prices rising. It's about what happens when the music stops and everyone wants their dollars back. Tether holds billions in commercial paper and Treasury bills, not physical gold. If gold keeps climbing while their paper assets lose value in real terms, that's a liquidity mismatch waiting to happen. The real risk is a run on USDT triggering crypto market chaos, which historically drives flight-to-safety buying in physical metals. Smart stackers should view any Tether instability as a potential catalyst for the next leg up in gold. The higher gold goes, the more obvious it becomes that paper promises aren't real money.