• Elemental will pay eligible investors in XAUT, a token whose value tracks gold directly.

  • Tether’s one-third stake sets context as the firm tests tokenized dividends at scale.

  • Tokenized gold tops $5B and XAUT leads supply, while ELE shares slid 7.33% on Feb. 17.

Elemental Royalty Corporation (ELE) will allow shareholders to receive dividends in Tether Gold (XAUT) instead of cash, becoming the first public gold company to offer blockchain-based gold token payouts. The Canada-based royalty firm announced the policy on Tuesday and confirmed that qualifying registered shareholders may elect to direct their cash dividend toward purchasing XAUT. Tether acquired one-third of Elemental last year, setting the stage for this integration of tokenized gold into corporate finance.

Dividend Policy Tied to Tether Gold

Elemental stated that shareholders who choose the option will receive returns in XAUT rather than fiat currency. XAUT tracks the price of gold and settles digitally on blockchain infrastructure. As a result, investors gain direct exposure to gold through a token format.

The company described the move as the first of its kind among publicly listed gold firms. It said the inaugural dividend policy reflects a disciplined approach that balances strategic growth investments with direct shareholder returns.

NEWS RELEASE: Elemental Royalty Corporation announces inaugural dividend and world-first option for eligible shareholders to receive Tether Gold XAUT

Read the full release here: https://t.co/BCKyzvOhRm#royalties #gold #investing $ELE.US $ELE.CA pic.twitter.com/CtB1SCVxhW

— Elemental Royalty Corporation (@Elemental_Royal) February 17, 2026

David M. Cole, Chief Executive Officer of Elemental Royalty, addressed the development in a press release. He said, “The approval of this dividend policy marks an important milestone in Elemental’s strategic trajectory and reflects our confidence in the strength and momentum of the business; we believe this is the right time to introduce a sustainable, long-term, dividend.” He added that offering a dividend in kind through Tether Gold differentiates Elemental as a growth-oriented investment.

Tokenized Gold Market Expansion

Gold-backed tokens have grown into a fast-rising asset class. The total market for tokenized gold has surpassed $5 billion. XAUT leads the sector in both trading volume and circulating supply.

Retail investors have driven much of this growth. Many seek gold exposure without relying on traditional custodians or intermediaries. XAUT allows holders to access gold price exposure in digital form.

Earlier this year, YouTube rival Rumble adopted XAUT as a payment option. The platform enabled users to tip creators using XAUT alongside Bitcoin and USDT. To expand payment utility, Tether introduced “Scudo,” which represents one-thousandth of a troy ounce of gold within the XAUT system. These initiatives focused on consumer payments, yet Elemental now applies tokenized gold to corporate dividends. Could this signal a broader shift in how public companies distribute shareholder returns?

Paolo Ardoino, Chief Executive Officer of Tether, commented on the announcement. He said, “This marks a major step forward for the gold industry and shows how tokenized assets can unlock new financial models that were previously out of reach.” He also described earlier efforts to integrate tokenized gold on Wall Street as challenging.

Related: Tether Sees Minting Activity as Ardoino Unveils AI Plans

Financial Position and Market Context

Elemental’s portfolio consists of high-margin, cash-generating royalty assets. The company expects continued growth in asset values and revenue from near-term development projects. It also cited expansions at producing assets as part of its financial strength.

The firm said this strength supports capital returns through meaningful dividends. Registered shareholders who qualify may elect to invest their cash dividend into XAUT purchases.

Meanwhile, Elemental Royalty Corp. shares closed at $26.41 on February 17 at 5:40 PM UTC-5. The stock declined 7.33%, or $2.09, from the previous close of $28.50. During the session, the price moved within a range of $25.93 to $28.49.

Source: Google Finance

The company’s market capitalization stands at 1.69 billion CAD. Average trading volume measures 72.92K shares. The stock carries a price-to-earnings ratio of 92.94 and lists no dividend yield. Over the past year, shares traded between $11.30 and $34.29, based on available chart data across multiple time frames.

The post Elemental Cooperation Lets Shareholders Receive XAUT Dividend Tokens appeared first on Cryptotale.

The post Elemental Cooperation Lets Shareholders Receive XAUT Dividend Tokens appeared first on Cryptotale.