Tether targets $15 billion valuation in fundraising round

A Big Deal for Tether

Tether, the world's largest issuer of the USDT stablecoin, is pursuing a new funding round that could value the company at $15 billion. The fundraising is said to be backed by major investors such as SoftBank and Ark Invest, reflecting growing public interest in the profitability and systemic importance of stablecoin issuers. If completed, the deal would mark one of the largest valuations ever for a cryptocurrency company.

Tether has long been the most widely used stablecoin in the global digital asset ecosystem, with a total circulating supply exceeding $172 billion by the end of 2025. Unlike competitors such as Circle's USDC or PayPal's PYUSD, Tether has grown despite intense regulatory scrutiny, largely due to its dominance in foreign exchanges, emerging markets, and cross-border payment services.

The $15 billion valuation reflects not only USDT’s market dominance but also Tether’s profitability. The company makes billions of dollars annually investing its reserves, primarily in U.S. Treasury bonds and other short-term instruments. By formalizing a fundraising round with blue-chip investors, Tether can strengthen its balance sheet, improve its governance reputation, and position itself to expand into cryptoassets, payments, and infrastructure beyond stablecoins.

Fierce Competition in Stablecoins

SoftBank and Ark Invest joining as investors in Tether would send a strong signal to the global market: that stablecoin issuers are no longer small fintech companies, but systemically relevant financial entities. Such support could also ease the concerns of institutional partners, who have been hesitant to adopt USDT due to doubts about reserves and transparency.

For the cryptocurrency ecosystem as a whole, Tether’s $15 billion valuation cements the position of stablecoin issuers as power centers on par with exchanges and custodians. It also underscores how reserve management profits—not transaction fees—have become the business model underlying stablecoins.

At the same time, the deal could change the competitive dynamic. A stronger, institutionally backed Tether would make it harder for USDC, PYUSD, or new entrants like MetaMask’s mUSD to erode USDT’s dominance, especially in regions where Tether already has a strong network effect.

Evaluation and Conclusion

If successful, Tether’s $15 billion valuation would mark a new era: stablecoin issuers officially joining the ranks of highly valued global financial institutions. The deal could open up resources for Tether to expand into tokenized treasuries, payment infrastructure, and AI-based financial products, cementing its core dominance of stablecoins.

For investors, the move shows that stablecoins are now investable businesses, not just digital rails—with cash flows, treasury strategies, and growth prospects worthy of institutional support. But there’s still plenty of controversy: Tether’s future will continue to depend on regulatory approval and the transparency of its reserves, even as it slowly becomes part of mainstream finance.

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