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December 6, 2023

Tether Allocating Part of Its Profits To Buy Bitcoin, Currently Holds $2,400,000,000 in BTC: Report

By Daily Hodl Staff

Top stablecoin issuer Tether now reportedly holds $2.4 billion worth of Bitcoin and has made more than $1 billion worth of profit off its BTC investments.

Pseudonymous on-chain analyst EmberCN tells their 64,000 followers on the social media platform X that Tether currently holds a total of 57,576 BTC purchased at an average cost of $22,480 per Bitcoin.

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The top-ranked crypto asset by market cap is trading at $44,061 at time of writing and is up more than 5% in the past 24 hours.

Tether mints USDT, the largest stablecoin by market cap. The company announced in May that it would regularly allocate up to 15% of its net realized operating profits towards purchasing BTC. EmberCN notes Tether has purchased 4,083 BTC since making that announcement.

Paolo Ardoino, Tether’s new chief executive, said at the time that the company’s decision to invest in Bitcoin was due to its strength and potential as an investment.

“Bitcoin has continually proven its resilience and has emerged as a long-term store of value with substantial growth potential. Its limited supply, decentralized nature, and widespread adoption have positioned Bitcoin as a favored choice among institutional and retail investors alike.

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Our investment in Bitcoin is not only a way to enhance the performance of our portfolio, but it is also a method of aligning ourselves with a transformative technology that has the potential to reshape the way we conduct business and live our lives.”

Ardoino served as Tether’s chief technology officer at the time of the announcement but was promoted to CEO in October.

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