Stablecoin giant Tether is stepping into big-time tech investing. According to CEO Paolo Ardoino, Tether plans to invest at least $1 billion over the next year in areas like emerging markets, artificial intelligence (AI), and biotechnology, Bloomberg reported.
This move signals a major shift for Tether, known primarily for its eponymous stablecoin, the most traded cryptocurrency of its kind. Tether’s venture capital arm has already been active, spending $2 billion in the past two years on AI and alternative financial infrastructure.
Tether’s investment strategy is unique. They’re not your typical venture capitalists. Instead of focusing on short-term returns, Tether is looking for “extremely interesting” projects that align with their long-term vision of a more decentralized financial system that is less reliant on big tech companies.
This strategy is fueled by Tether’s recent success. The company reported a record $4.52 billion net profit in Q1 2024, with most profits coming from Bitcoin and gold holdings. This financial strength allows Tether to be selective with investments and focus on projects they believe in, not just quick wins.
