Tether, the company behind USDT, the world's largest stablecoin, is reportedly in talks to raise between $15 billion and $20 billion through a private placement, potentially valuing the company at a staggering $500 billion. If successful, this would place Tether among the ranks of the world's most valuable private companies, alongside tech giants like OpenAI and SpaceX. Cantor Fitzgerald is advising on the transaction, offering a roughly 3% equity stake in exchange for the funds.
The potential fundraise has garnered significant attention from top-tier investors. SoftBank Group and Ark Investment Management are reportedly considering participating in the deal. This interest underscores strong investor confidence in stablecoins and highlights their increasing importance in global finance. The involvement of such prominent investors could accelerate Tether's mainstream adoption efforts and enhance its legitimacy within traditional finance sectors.
Tether's CEO, Paolo Ardoino, confirmed the company is exploring a potential fundraise "from a select group of high-profile key investors,". While he declined to disclose specific names or amounts, Ardoino hinted at Tether's plans to expand into new business lines, including commodities, energy, and media, as part of its broader growth strategy. This strategic shift signifies Tether's ambition to evolve into a diversified digital finance powerhouse, moving beyond its core stablecoin operations.
Several factors contribute to Tether's impressive valuation and attractiveness to investors. The company's dominant position in the stablecoin market, with USDT boasting a market capitalization of approximately $173.6 billion, is a key driver. Moreover, Tether's immense profitability, fueled by interest earned on its substantial holdings of U.S. Treasuries, has made it one of the most profitable companies in the crypto space. In the second quarter of 2025, Tether reported $4.9 billion in net income, marking a 277% increase compared to the previous year.
Tether's strategic goals extend beyond simply bolstering its stablecoin dominance. The company aims to leverage the raised capital to fuel expansion into new sectors such as Artificial Intelligence (AI), energy, commodity trading, communications, and media. Tether has already begun investing in these areas, utilizing profits generated from its Treasury holdings. This diversification strategy reflects Tether's ambition to transform passive income into active cross-industry investments.
The potential fundraise also aligns with Tether's push for greater regulatory compliance, particularly in the United States. The company recently announced the USAT, a US-compliant stablecoin that could potentially challenge Circle's USDC. Furthermore, Tether has appointed Bo Hines, a former crypto advisor, as its Strategic Advisor for Digital Assets and US Strategy. These moves signal Tether's commitment to operating within the evolving regulatory landscape and strengthening its position in the U.S. market.
If the fundraising round is successful, Giancarlo Devasini, the largest shareholder and chairman of Tether, could see his personal fortune grow dramatically. Bloomberg estimates his stake could be worth around $224 billion, potentially surpassing the net worth of Warren Buffett. This highlights the significant financial implications of Tether's growth and its potential to reshape the landscape of global wealth.
