Tether Holdings Ltd., the issuer of the leading stablecoin in terms of market value and trade volume, is poised to become a formidable player in the mining industry, as revealed by its CEO, Paolo Ardoino. On Thursday, Ardoino announced the company’s intention to channel approximately $500 million into its mining business over the next six months.
Tether’s Mining Ambition: A $500 Million Venture into Crypto’s Core
Under the strategic guidance of Paolo Ardoino, Tether is set to bolster its mining endeavors. The company is earmarking close to half a billion dollars for enhancing its mining facilities and acquiring stakes in other enterprises. Ardoino shared these insights during a Bloomberg interview conducted on Thursday.
Tether, at the helm of the largest stablecoin by market worth, currently manages the third most valuable cryptocurrency in terms of market capitalization. This year, the firm started to expand toward the mining sector. In May 2023, the company made a strategic move into “sustainable bitcoin mining operations in Uruguay.” In June, Tether unveiled its investment in a Salvadoran bitcoin mining venture known as “Volcano Energy.”
As September drew to a close, the issuer of the stablecoin further diversified its portfolio by securing a 20% share in Northern Data and acquiring Nvidia’s AI-oriented GPUs. In a conversation with Bloomberg’s David Pan and Emily Nicolle, Ardoino emphasized Tether’s deep commitment to mining. “We are committed to being part of the Bitcoin mining ecosystem,” the Tether boss said. He added:
When it comes to the expansions, building new substations and new sites, we are taking them extremely seriously.
Ardoino elaborated on the operation of three facilities, each boasting a capacity ranging from 40 to 70 megawatts (MW). These installations are situated in El Salvador, Paraguay, and Uruguay. Ardoino expressed Tether’s ambition to escalate its total capacity to 120 MW by year’s end.
Additionally, earlier this year, Tether disclosed its strategy of not only mining BTC but also including the leading crypto asset in its balance sheet. As of November 16, the circulation of Tether has reached 87.43 billion. Of the $98 billion in total global trade volume recorded in the last day, $50 billion originated from transactions involving tether (USDT).
What do you think about Tether’s ambitions to become a formidable force in the bitcoin mining sector? Share your thoughts and opinions about this subject in the comments section below.