Tether, the issuer of world’s leading stablecoin USDT, is advancing in the Bitcoin (BTC) accumulation race. It has significantly strengthened its reserves by acquiring 8,889 BTC recently. The recent acquisition has boosted Tether’s total Bitcoin reserves to over 75,000 BTC, valued at more than $5.3 billion.

Tether Acquires Massive Bitcoin Reserve

According to to Arkham Intelligence data, on-chain transactions indicate that Tether received the Bitcoin from Bitfinex’s hot wallet on March 31, 2024, at 17:21 UTC. At the time, the transaction amounted to approximately $627 million. Moreover, this strengthens Tether’s position as the seventh largest Bitcoin address in the world.

Throughout the past year, Tether has noticeably increased its Bitcoin holdings, initially disclosing its BTC reserves in the first quarter of 2023. Furthermore, they also mentioned consistently investing up to 15% in Bitcoin from corporate profits generated from excess Tether stablecoin reserves.

In addition, Tether CEO Paulo Ardoino shed light on their strategy of investing in Bitcoin. “The decision to invest in Bitcoin, the world’s first and largest cryptocurrency, is underpinned by its strength and potential as an investment asset,” stated Ardoino.

Moreover, in Tether’s latest attestation report for Q4 2023, insights into the financial impact of these investments were provided. Bitcoin contributed $2.8 billion to the company’s consolidated reserves, highlighting Tether’s strategic approach to leverage crypto market dynamics. In addition, since the Bitcoin price is sustaining at $70,000 currently, this accumulation could increase scarcity and catalyze an upward trajectory.

Also Read: Bitcoin Price: How Will The 2024 Halving Impact BTC?

Tether Initiates AI Venture

Tether’s endeavors extend beyond digital assets, as the company explores various technological and infrastructural domains. Ventures into Bitcoin mining and artificial intelligence (AI) technology are notable examples.

Moreover, this strategic action signals their ambition to become a multifaceted investor and infrastructure developer within the digital asset industry. “While Tether is mostly known for one product (USDt), the Company is becoming an investor and infrastructure builder in many strategical sectors, spacing from AI to P2P telecommunications, from Bitcoin mining to renewable energy production,” Ardoino noted.

The company’s AI focus will encompass developing open-source, multimodal AI models to establish new industry standards and promote innovation and accessibility in AI technology. In addition, the high Bitcoin reserves and expansion into new technological realms underscore Tether’s strategic shift toward diversification and innovation.

Also Read: MicroStrategy Overvalued: Is Bitcoin Behind The Higher MSTR Price?

The post Tether Advances In Bitcoin Accumulation Race With $627M BTC Added appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am