Tether, the issuer of the world’s largest stablecoin, is exploring a fundraising round that could value the company at around $500 billion, its CEO Paolo Ardoino confirmed.
The El Salvador-based firm is reportedly looking to raise between $15 billion and $20 billion by selling a roughly 3% stake through a private placement, according to Bloomberg.
Ardoino shared the news on his official X account, saying Tether is “evaluating a raise from a selected group of high-profile key investors.”
The funds, he added, will aim to “maximize the scale” of Tether’s strategy across various business lines, including stablecoins, AI, commodity trading, energy, communications, and media. Unlike secondary sales, the transaction would involve new equity, according to the post.
Tether eyes growth beyond stablecoins
The deal, still in early discussions, could elevate Tether’s valuation to levels comparable to private tech giants such as OpenAI and SpaceX. OpenAI’s recent fundraising valued the company at $300 billion, according to CNBC.
Tether’s plans also signal its ambition to expand in the U.S., where it recently appointed a CEO for its U.S. operations and its new institutional arm, USAT. Further, this move also comes amid growing interest in crypto-friendly regulations under the GENIUS Act.
According to CoinMarketCap data, USD Tether (USDT), pegged to the U.S. dollar, now has a market cap exceeding $172 billion, making it by far the largest stablecoin. Its main competitor, Circle’s USDC, has a market cap of around $74 billion.
While Tether has faced past criticism, including accusations of being a “go-to cryptocurrency” for criminals, the company has steadily worked to strengthen its legitimacy and expand its global footprint.
The suggested fundraising would have the means to expand its operations and venture into new areas, making it a more diversified crypto company.
The negotiations are still in its infancy and the final terms such as the size of the offering can vary. The fundraising would be one of the biggest private crypto deals ever completed in case it is completed, which would indicate that Tether continues to have an impact in the digital asset arena.
Also Read: Tether Launches New U.S. Stablecoin, USAT, Tapping Bo Hines as CEO
