Tether, the leading stablecoin issuer, has reportedly accumulated $2.4 billion worth of Bitcoin and has made over $1 billion in profits from its BTC investments. On-chain analyst EmberCN, with a substantial following on Twitter, revealed that Tether currently holds 57,576 BTC purchased at an average cost of $22,480 per Bitcoin.
The announcement comes as Bitcoin, the top-ranked crypto asset by market cap, is trading at $44,061 and has experienced a 5% increase in the past 24 hours. Tether, the company behind USDT, the largest stablecoin by market cap, pledged to allocate up to 15% of its net realized operating profits towards purchasing BTC. Since the announcement, Tether has acquired 4,083 BTC.
Tether’s decision to invest in Bitcoin was prompted by its strength and potential as an investment according to Paolo Ardoino, Tether’s CEO. Ardoino emphasized Bitcoin’s resilience, limited supply, decentralized nature, and widespread adoption as key factors in the company’s investment strategy. He believes that Bitcoin offers substantial growth potential and has positioned itself as a favored choice among institutional and retail investors alike.
Ardoino, who previously served as Tether’s chief Technology officer, was promoted to CEO in October. As Tether continues to diversify its portfolio and align itself with transformative technologies, the company’s investment in Bitcoin is seen as a strategic move to enhance its performance and support a Technology that has the potential to reshape the way Business is conducted.
In conclusion, Tether’s significant holdings and profits from Bitcoin investments indicate the company’s confidence in the long-term potential of the leading cryptocurrency. As Tether continues to embrace new opportunities in the rapidly evolving crypto space, its strategic approach underscores its position as a major player in the digital asset market.
