News

Tether Bitcoin Reserve Receives 7,629 BTC From Bitfinex

Key Points:

With 7,629 BTC worth $705.25 million, Tether Bitcoin reserves have been increased to 82,983 BTC, valued at $7.68 billion.
The stablecoin issuer, which began its Bitcoin investment in 2023, now holds over 82,000 BTC.

Tether, the biggest stablecoin issuer, aggressively added to its Bitcoin holding when it reportedly purchased 7,629 BTC worth $705.25 million from Bitfinex, a popular cryptocurrency exchange.

Tether Bitcoin Reserves Boosted with $705 Million Acquisition

The enhancement of Tether Bitcoin reserves came after nine months of inactivity in its Bitcoin wallet. The latest transaction brings Tether‘s total Bitcoin holdings to 82,983 BTC, worth about $7.68 billion, with an average acquisition cost per Bitcoin of $36,125. This adds to the unrealized gain of $4.72 billion for the company.

The purchase is part of the strategy that Tether announced in May 2023 to invest 15% of its profits in Bitcoin. The Tether Bitcoin reserves position it as the sixth-biggest holder of Bitcoin. Tether is acting upon its wider ambition to invest in emerging sectors such as AI, Bitcoin mining, and decentralized communications to diversify its holding into Bitcoin.

Tether to Expand Financial Footprint, Plans to Invest $5 Billion in Commodities

Tether announced for the first time in the asset certification report for Q1 2023 its investment in Bitcoin, asserting that 15% of the surplus profit every month would go to Bitcoin and it was time to reduce dependence on government bonds. More than 82,000 BTC have been gathered by the company in the past year, valued at more than $7.6 billion.

Incidentally, aside from Bitcoin, Tether holds $100 billion in bonds and 48.3 tons of gold. Profits for 2024 will top $7.7 billion by the end of Q3, and at that rate, Tether has emerged as one of the biggest bond investors in the world, beating nations like Germany and the UAE.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.