Tether's Investment in Bitdeer for Expansion

Jihan Wu’s cryptocurrency mining venture, Bitdeer, recently announced a substantial capital increase in partnership with Tether, the organization behind the world’s biggest stablecoin project, Tether (USDT). The official declaration on May 31 revealed that Tether finalized a deal to acquire $150 million worth of shares in Bitdeer through a private transaction.

Notable Investment by Tether

This private deal comprises 18,587,360 Class A ordinary shares with an option to acquire up to 5,000,000 additional shares at $10 per share. The transaction on May 30 raised $100 million in gross proceeds from the share issuance, with the potential to reach an additional $50 million upon full execution of the order.

Bitdeer intends to utilize the raised funds to expand its data centers, advance its application-specific integrated circuit (ASIC) based mining hardware, and support various operational objectives. Linghui Kong, the Chief Operating Officer at Bitdeer, expressed enthusiasm about Tether’s involvement as a significant investor, emphasizing the potential for accelerated growth and sustained leadership in sustainable and efficient Bitcoin mining. Kong stated that the partnership with Tether signifies a crucial milestone for Bitdeer, heralding a promising future collaboration.

Insights from Tether's CEO

Paolo Ardoino, the CEO of Tether, commended Bitdeer for being among the foremost vertically integrated entities in the Bitcoin mining sector, attributing this status to their cutting-edge technologies and robust R&D endeavors. Ardoino highlighted the alignment between Bitdeer's track record, expert management team, and Tether's strategic vision for long-term growth. He anticipated a close working relationship with Bitdeer across critical infrastructure domains in the times ahead.

This strategic move by Tether represents an additional venture into the mining sector, affirming their commitment to enhancing reserves by exploring new revenue streams. Tether, known for its diversified reserves encompassing U.S. Treasury funds and assets like Bitcoin, seeks to fortify its financial positions through such strategic maneuvers.

The original post initially appeared on COINTURK NEWS.