Prestige Wealth raised 150 million dollars for Tether Gold.

Prestige Wealth announced that it has raised 150 million dollars to create a digital asset treasury focused on Tether Gold (XAUT). The company disclosed this funding on Thursday, achieving it through a 100 million dollar private placement and 50 million dollars in senior debt. During this process, significant names such as Tether and Kiara Capital participated alongside Antalpha, a Bitcoin financing firm.

Most of the raised funds will be used to acquire tokenized gold reserves, thereby creating a publicly verifiable, blockchain-based treasury. The company's name will be changed to Aurelion following the necessary approvals, and it will start trading under the AURE symbol on Monday.

Following the news, shares gained 35% in pre-market trading but have given back most of those gains in the early minutes of the trading session. This announcement came right after Bloomberg's report last week on Antalpha and Tether's efforts to support a tokenized gold treasury company.

Tether Gold is a stablecoin backed by physical gold, which is redeemable and can be tracked on-chain. Aurelion stated that it will hold these reserves in a transparent and auditable manner, aiming to provide alternatives to traditional reserves like cash or fiat stablecoins.

The new CEO, Björn Schmidtke, expressed that this move reflects a shift towards digital assets supported by real-world value. Schmidtke stated, "In a world where the digital currency movement is increasing and market volatility is real, providing a tangible value base with tokenized gold offers assurance to individuals and institutions." He also emphasized that while some refer to Bitcoin as digital gold, he sees Tether Gold as the true digital gold.

The company aims to achieve modest returns from lending unsecured gold assets through Antalpha. Post-transaction, the company's board and leadership have been reshaped, with Antalpha securing two board seats and a strategic advisory committee being established.