Tether has augmented its Bitcoin holdings by acquiring an extra 8,889 bitcoins, which are now worth at $627 million. This acquisition has resulted in a total reserve of 75,354 BTC for Tether.
The initiative started in September 2022 with the objective of expanding Tether’s portfolio to include assets other than conventional ones such as cash and Treasury bonds.
CEO Paolo Ardoino clarifies that Tether is allocating a portion of its income, up to 15%, from stablecoin reserves to invest in Bitcoin.
This decision is based on Bitcoin’s scarcity and widespread use. The implementation of this strategic maneuver has led to substantial increases in profits, ultimately leading to a remarkable achievement of a net profit of $2.85 billion in the last quarter of 2023.
Tether now holds the sixth-largest amount of Bitcoin, positioned closely behind prominent entities like as Fidelity’s FBTC and MicroStrategy. Nine recently launched spot ETFs now hold a combined total of 501,000 BTC, securing the top position in the market.
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