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Tether Holdings to Invest Over $1 Billion in Deals 

Tether

The post Tether Holdings to Invest Over $1 Billion in Deals  appeared first on Coinpedia Fintech News

Tether Holdings, the issuer of the world’s largest stablecoin, USDT, with a market cap of $112,494,993,104, plans to invest over $ 1 billion in various deals over the next few years. This bold move underscores Tether’s growing financial power and ambition to expand its influence beyond stablecoins.

Tether’s Ambitious Investment Strategy 

Tether Investments, the investment arm of Tether Holdings, is gearing up for a busy year. CEO Paolo Ardoino revealed recently in an interview that the company have a special team to evaluate pitches. They analyse hundreds of pitches, mostly from startups, every month. The company’s focus areas include financial infrastructure, Artificial Intelligence and biotechnology. 

Tether’s Increased Focus on Emerging Tech 

Over the past two years, Tether has already invested around $2 billion in its focus sectors. Notably, they have backed AI projects like data-centre operator Northern Data Group. Arduino emphasised that their goal was to invest in technology that reduces reliance on traditional finance and big tech companies.

Tether Leveraging Profits for Expansion 

 Tether’s investment strategy is fuelled by its substantial profit. In the first quarter alone, Tether reported a profit of $4.5 billion. As per a source, the company plans to continue keeping 100% of its revenue, plus a 6% cushion, ensuring smooth USDT redemptions. The remaining profits will be directed towards new investments.

Tether Regulatory and Market Context 

Despite facing regulatory scrutiny and settlements in the past, Tether has maintained its value closely tracking the US dollar. The high-interest-rate environment has contributed to Tether’s profitability, enabling these ambitious investment plans.

Tether’s significant investments signal its intent to become a major player in emerging technologies and alternative financial structures. 

Stay tuned to Coinpedia for more such exciting news updates related to Web3, Blockchain and Cryptocurrency.