Elemental Royalty Corporation (ELE) now offers its shareholders something no other public gold company has before: the ability to receive dividends in the form of blockchain-based tokens backed by gold.
In a move announced Tuesday, the Canada-based royalty company said it would distribute returns to shareholders using tokenized gold from Tether stablecoin issuer Tether Gold (XAUT).
Shareholders choosing this route will receive their dividends in XAUT rather than fiat currency, providing exposure directly linked to the price of gold with the added flexibility of digital settlement.
This is the first time a publicly traded gold company has made such an offer, according to the press release. The move comes after Tether purchased a third of Elemental last year.
Gold-backed tokens have become a fast-growing asset class. The total tokenized gold market has surpassed $5 billion, with XAUT currently leading the industry in volume and supply. Much of this growth is driven by retail investors seeking exposure to gold without relying on traditional custodians or intermediaries.
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