Stablecoin issuer Tether made a significant acquisition of 8,888 Bitcoins on March 31, worth $618 million. This move has boosted Tether's reserves ahead of the upcoming Bitcoin halving event, surpassing a total of 75,000 Bitcoins in its treasury. The average purchase price for these Bitcoins was $30,305.
Tether's Bitcoin reserves are now valued at $5.3 billion, showing a 128% increase in its Bitcoin wallet and unrealized profits exceeding $2.94 billion.
Since the first quarter of 2023, Tether has been actively strengthening its Bitcoin reserves and plans to invest up to 15% of its corporate profits generated from excess USDT reserves into Bitcoin to diversify its backing assets.
Data from Bitinfocharts reveals that Tether now holds the seventh-largest Bitcoin reserve in the world, with Binance's cold wallet taking the top spot at $17.31 billion.
Tether CEO Paulo Ardoino has highlighted that investing in Bitcoin aligns with the firm's strategy to enhance portfolio performance and take part in transformative technology shaping future business operations.
In its Q4 2023 report, Tether disclosed that Bitcoin contributed $2.8 billion to its reserves. The firm also announced intentions to delve into cryptocurrency mining, with plans to invest in Bitcoin mining facilities in Uruguay, Paraguay, and El Salvador.
Tether's USDT stablecoin hit a record market cap of $100 billion on March 4 with a year-to-date growth rate of 9%. Additionally, Tether launched its AI division on March 26, focusing on developing open-source AI models and collaborating with other companies for commercial applications.
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