Tether, the publisher of the world’s largest Stablecoin USDT, has revealed that over the past two years it has reinvested around $5 billion in profits in US-based businesses and infrastructure.
In a May 26th post on X, Tether CEO Paolo Ardoino revealed that the company has made significant investments in American companies and emerging technologies, reflecting what many call a “pro-American” strategy.
According to Ardoino, the investment covers a variety of sectors, including decentralized media, neuroscience and Bitcoin mining. Notable recipients include Rumble, a video sharing platform. BlackRock NeuroTech, Brain-Computer Interface (BCI) startup. Also, several Bitcoin mining companies, such as Swan Bitcoin.
In one of the most important moves, Tether acquired $100 million in Class A shares in January for $770 million in January, supporting a decentralized content platform. Since then, the USDT issuer has worked with Rumble to launch non-lawful Bitcoin and Stablecoin wallets.
Another $200 million was poured into BlackRock NeuroTech in April 2024. The funding is reportedly supporting medical breakthroughs, including efforts to restore patients’ communication skills through brain implant devices.
The company also supports Bitcoin infrastructure. We have begun allocations to current and future hashrates, a mining pool run by Wyoming-based company Mummolin Inc. However, its relationship with Swan Bitcoin is tense and a legal dispute is ongoing.
Tether’s US Treasury Department
Beyond these equity investments, Tether has established a prominent position in the US Treasury Department. The company holds total exposure totalling over $120 billion through direct purchases, money market funds and reverse repo agreements.
This makes Tether the 19th largest owner of the US Treasury bill globally, surpassing Germany’s $111.4 billion exposure, based on US Treasury data.
This asset serves as a Stablecoin reserve and is important in maintaining the dollar pegs of USDT. Most are reportedly held at Cantor Fitzgerald, a major US financial institution.
Meanwhile, Tether’s aggressive investment strategy continues in a record year. In January, the company reported net profit of over $13 billion in 2024. These revenues strengthened the balance sheet and allowed for further expansion of agriculture, sports and media despite continued scrutiny from regulators.
USDT remains the largest stubcoin and the third largest cryptocurrency by market capitalization, but uncertainty from US regulators has led Tether to consider issuing another Stablecoin, tailored to comply with future rules.
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