WEB3
by BSCN
June 11, 2024
This initiative will focus on financial infrastructure, AI, and biotech, continuing the trend of investing $2 billion in these areas over the past two years.
Tether Holdings, the issuer of the world’s largest stablecoin, USDT, plans to invest over $1 billion in various deals over the next 12 months, according to a June 11 Bloomberg report.
Tether’s venture capital arm has already spent about $2 billion on technologies like AI and alternative financial infrastructure in the past two years. For instance, Tether recently invested $200 million to acquire a majority stake in Blackrock Neurotech, a firm developing brain-computer interface (BCI) technology
"It's all about investing in technology that helps with disintermediation with traditional finance," Tether’s CEO, Paolo Ardoino said. "Less reliance on big tech companies like Google, Amazon and Microsoft."
Ardoino mentioned that the company’s growing team of 15 evaluates hundreds of pitches monthly. The firm’s focus areas for investment include:
Financial Infrastructure: Projects that enhance or create new financial systems.
Artificial Intelligence: Technology that can benefit Tether's operations and its investments.
Biotech: Innovative biological and medical technologies.
Tether plans to offer AI computing to all the companies it invests in. This approach aims to reduce reliance on major tech companies like Google, Amazon, and Microsoft.
The current high-interest-rate environment has reportedly allowed Tether to secure substantial earnings. In the first quarter alone, Tether reported a profit of $4.5 billion. The company plans to reinvest these profits, keeping 100% of its revenue plus a 6% cushion to ensure smooth USDT redemptions.
Tether’s investment strategy aligns with its goal to diversify beyond its foundational cryptocurrency offerings, particularly its major product,the USDT stablecoin. This diversification includes expanding its financial ecosystem and enhancing profitability through investments in high-growth areas.
Despite past regulatory challenges, Tether has maintained the peg of its USDT stablecoin to the dollar, ensuring stability and reliability for users.
Disclaimer
Disclaimer: The views expressed in this article do not necessarily represent the views of BSCNews. The information provided in this article is for educational and informational purposes only and should not be construed as investment advice. BSCNews assumes no responsibility for any investment decisions made based on the information provided in this article
Latest News
1h : 11m ago
Weekly Article Recap: 9/23-9/27
September 26, 2024
Avalanche Foundation Launches $40M Retro9000 Grant Program for L1 Developers
September 26, 2024
US Crypto ETFs Surge with $350M in New Inflows
September 26, 2024
Curve Finance Considers Removing TUSD from crvUSD Collateral Amid SEC Accusations
September 26, 2024
PayPal Opens Cryptocurrency Market to U.S. Business Accounts
September 25, 2024
Binance Introduces Exclusive Pre-Market Trading for Launchpool Tokens
September 25, 2024
Floki's Valhalla Partners with Esports Giant Alliance
September 25, 2024
SEC Settles Charges with TrueCoin and TrustToken Over Fraudulent TUSD Sales