Elemental Royalty Corporation (ELE) will let qualifying shareholders receive quarterly dividends in Tether Gold (XAUT) instead of cash, a world-first for any public company. Each token represents one ounce of LBMA-verified gold stored in Swiss vaults, turning XAUT from a trading tool into a direct corporate payout.
High Signal Summary For A Quick Glance
- Elemental Royalty becomes the first public company to offer tokenized gold (XAUT) dividends.
- XAUT remains fully backed by LBMA-grade gold, with no change to underlying asset security.
- Marks the transition of tokenized gold from a trading instrument into corporate finance infrastructure.
- Validates RWAs as a bridge between traditional finance and blockchain, supporting broader adoption.
- Retail traders: Can elect XAUT dividends, gaining tokenized gold exposure without selling shares.
- XAUT and gold holders: Benefit from potential institutional inflows and improved liquidity.
- Institutions and funds: Gain a blockchain-native mechanism to receive gold exposure via dividends.
- RWA ecosystem builders: See the first corporate dividend use case integrating tokenized assets.
What Sparked This Historic Move?
Elemental Royalty Corporation, a Nasdaq-listed precious metals firm, announced its first-ever dividend policy, giving shareholders the option to receive payouts in Tether Gold (XAUT) instead of cash. Each XAUT token equals one ounce of physical gold stored in Swiss vaults, letting investors gain direct blockchain-backed gold ownership without selling shares or handling physical bars.
This is a historic first for publicly listed companies, marking tokenized gold’s entry into corporate dividends. Elemental shares fell ~7.8% on the announcement, while XAUT traded near spot gold prices. The move signals a growing bridge between traditional finance and real-world tokenized assets.
Key milestones in Tether Gold (XAUT) and Elemental Royalty’s tokenized gold dividend initiative
XAUT officially launches
Tether introduces XAUT, the first token fully backed by one fine troy ounce of LBMA Good Delivery gold stored in Swiss vaults.
Tokenized gold dividend approved
Elemental Royalty becomes the first publicly listed gold company to approve dividends payable in Tether Gold (XAUT) instead of cash.
Dividend record date established
Shareholders must hold Elemental Royalty shares by this date to qualify for the inaugural dividend election in XAUT.
First XAUT dividend payment
The company plans to distribute its first quarterly dividend of US$0.03 per share in XAUT to eligible shareholders who elect the tokenized option.
Quarterly tokenized gold payouts
Elemental Royalty will continue offering XAUT as a permanent quarterly dividend option, establishing tokenized gold as a corporate payout mechanism.
Dividend Mechanics and Eligibility
Only shareholders who hold Elemental Royalty shares in registered direct form, not in street-name through brokers, will qualify to elect the XAUT option. Full eligibility criteria, including jurisdictional restrictions for U.S. and some international investors, will be published in a formal information circular within the next 2 to 3 weeks. The record date for the first dividend is March 31, 2026.
On payment day, Elemental will convert the US$0.03 per share cash dividend into XAUT at the market price using a licensed third-party partner. The tokens will be sent directly to the shareholder’s designated Ethereum or Tron wallet. No custody fees apply, and each XAUT remains fully redeemable for physical gold through Tether’s standard process.
What Readers Should Watch Next
- First XAUT dividend election details. Elemental will release instructions, wallet requirements, and cut-off dates. High turnout signals strong demand for tokenized payouts.
- Copycat moves by other gold firms. Watch Franco-Nevada, Wheaton Precious Metals, or smaller royalty companies for similar tokenized dividend announcements.
- XAUT on-chain volume and liquidity. Track spikes in XAUT transfers, exchange inflows, and redemption requests as dividends begin flowing.
- ELE share price recovery and yield appeal. Monitor if the 7.8% post-announcement dip reverses and if the 0.6% gold-linked yield attracts new capital.
