Key Takeaways:
Antalpha's facilitated loan book shrank by $696 million in the second quarter as a $22.3 million fair-value loss on tokenized gold at its Aurelion subsidiary pushed the Tether-backed financing platform to a $12.5 million net loss.
"Disciplined operations and risk management are the foundation for creating long-term shareholder value," Chief Financial Officer Paul Liang said. "We will deploy capital selectively, enhance our financing platform, and advance high ROI complementary capabilities such as our tokenized gold platform and Web3 AI agent, Nina."
Total value of loans facilitated fell 34 percent year over year to $1.353 billion as of June 30, from $2.049 billion a year earlier and $1.710 billion at the end of March, according to the company's filing with the US Securities and Exchange Commission. Revenue dropped 28 percent to $12.2 million, while net income swung from a $700,000 profit to a $12.5 million loss. The overall operating balance posted a negative $25.1 million on fair-value adjustments to tokenized metal holdings.
The contraction spread across both business lines. Supply-chain financing TVL plunged 46 percent to $384 million, while margin loans fell 27 percent to $969 million. Galaxy Digital data shows the broader crypto credit market shrank for a third straight quarter to $56.16 billion, down 40 percent from the $78.69 billion peak reached in late 2025.
Aurelion, the tokenized-gold infrastructure entity trading under AURE that Antalpha has consolidated since October 2025, recorded $22.3 million in fair-value losses across its XAUt holdings and the XAUE yield protocol. Of that, $21.2 million was unrealized from spot gold price swings and $1.1 million realized. The subsidiary's losses drove most of the parent's $25.1 million operating loss.
Tether-related entities held 1.95 million Antalpha shares, an 8.1 percent stake, and control 21.5 percent of Aurelion's Class A common stock. XAUt is issued by Tether, the largest stablecoin issuer by market capitalization.
Management said the consolidated figures obscure Antalpha Prime, its core financing platform, which stayed operationally profitable on a non-GAAP basis and has recorded zero principal losses since inception. Technology platform fees rose 10 percent year over year to $4.5 million as margin-loan pricing improved, expanding net fee margin by roughly 10 basis points.
Aurelion Chief Executive Officer Frank Zheng said the subsidiary is shifting into an on-chain gold risk-management provider to generate recurring software revenue and cut exposure to commodity price swings. Antalpha guided third-quarter revenue of $10 million to $12 million, below the $12.2 million reported in the second quarter, reflecting a conservative short-term lending outlook.
The results show a financing platform caught between a shrinking loan book and a treasury strategy that introduced mark-to-market volatility. With the Cango/Kengo facility fully wound down and no replacement of comparable scale, the company's pivot to tokenized gold and its Nina AI agent has yet to offset lost lending income.
This article is for informational purposes only and does not constitute investment advice.
