Tether has invested $5 billion in the US in the past two years and holds $120 billion in US Treasury bonds.

Gate News bot news, Tether, the issuer of the world's largest stablecoin USDT, disclosed that over the past two years it has reinvested approximately 5 billion USD in American companies and infrastructure.

Tether CEO Paolo Ardoino revealed in a post on X on May 26 that the company has made significant investments in American enterprises and emerging technologies, reflecting what is termed a "pro-American" strategy.

According to Ardoino, these investments cover multiple fields including decentralized media, neuroscience, and Bitcoin mining. Notable investment targets include the video sharing platform Rumble, the brain-computer interface (BCI) startup Blackrock Neurotech, and several Bitcoin mining companies such as Swan Bitcoin.

One of Tether's most important initiatives was the acquisition of over 100 million Class A shares of Rumble for $770 million in January this year to support a decentralized content platform. Since then, the two parties have collaborated to launch a non-custodial Bitcoin and stablecoin wallet.

In April 2024, another 200 million USD was injected into Blackrock Neurotech. It is reported that this funding supports medical breakthroughs, including efforts to restore patients' communication abilities through brain implant devices.

The company also supports Bitcoin infrastructure. It has started allocating current and future computing power to the OCEAN mining pool, which is operated by Mummolin Inc. in Wyoming.

In addition to these equity investments, Tether also holds a significant position in U.S. Treasury bonds. The company has an exposure of over 120 billion USD in U.S. Treasury bonds through direct purchases, money market funds, and reverse repurchase agreements.

According to data from the U.S. Department of the Treasury, this makes Tether the 19th largest holder of U.S. Treasury securities in the world, surpassing Germany's exposure of $111.4 billion.

These assets serve as reserves for its stablecoin, which is crucial for maintaining the peg of USDT to the US dollar. Reportedly, most of these assets are held by the leading American financial institution Cantor Fitzgerald.

At the same time, Tether's aggressive investment strategy has continued a record-breaking year. In January, the company announced a net profit of over 13 billion USD for 2024. These earnings have strengthened its balance sheet and enabled it to further expand its agriculture, sports, and media businesses amidst ongoing scrutiny from regulators.

Although USDT is still the largest stablecoin by market capitalization and the third largest cryptocurrency asset, the uncertainty of U.S. regulation has prompted Tether to consider the issuance of a separate stablecoin to comply with upcoming rules.

Source: CryptoSlate