Theo launches tokenized silver backed by $40 million in active leases

Onchain finance platform Theo announced the launch of thSLVR, a tokenized silver product backed by more than $40 million of active leases. The token gives holders exposure to the price of silver while passing lease income generated from lending the metal to institutional borrowers.

How thSLVR works

Refiners, mints and industrial manufacturers regularly borrow silver to meet production needs. They pay a lease fee and later return an equivalent amount of metal. Theo will lease the silver backing thSLVR to established institutional counterparties under standard market terms, with credit exposure supported by a parent‑company guarantee. Token holders retain price exposure and receive the associated leasing income.

Launch details

• Initial lease commitments exceed $40 million.
• thSLVR is offered in beta to institutions and whitelisted investors, with broader access planned later.
• The product expands Theo’s commodities‑financing business beyond gold and will also support its thUSD yield‑bearing stablecoin.

Market context

Silver has experienced strong volatility in 2024, reaching a record $121.79 per ounce in January before falling sharply. Lease rates can spike when physical availability is limited; about 83 % of silver in London vaults is locked in investment products, leaving roughly 136 million ounces for trading and leasing. The one‑month London lease rate briefly rose to about 39 % in October 2025 before normalizing.

Tokenized commodities landscape

Tokenized commodities now represent roughly $4.9 billion across 130 products, led by gold‑backed tokens. Silver tokens are a smaller segment, typically distributing platform trading fees rather than direct leasing income. thSLVR is positioned as the first silver token to pass on actual lease revenue to holders.