Tether, the issuer of the world’s dominant stablecoin USDT, is exploring one of the largest private fundraising deals in history, one that could value the company at half a trillion dollars.
Fundraising talks
According to a Bloomberg report on Wednesday, Tether is in discussions to raise between $15 billion and $20 billion in exchange for roughly a 3% stake through a private placement. That implies a valuation close to $500 billion, placing Tether in the same league as SpaceX, OpenAI, and financial giants such as Mastercard or Netflix.
CNBC reported that the transaction would involve new equity, rather than existing investors cashing out, citing people familiar with the plans. Cantor Fitzgerald is said to be advising on the deal.
In a post on X, Tether CEO Paolo Ardoino confirmed the fundraising effort:
“Tether was evaluating a raise from a selected group of high-profile key investors,” he wrote.
He added that the funds would “maximize the scale” of the company’s operations, spanning stablecoins, artificial intelligence, commodities trading, energy, communications, and media.
Tether is evaluating a raise from a selected group of high-profile key investors, to maximize the scale of the Company's strategy across all existing and new business lines (stablecoins, distribution ubiquity, AI, commodity trading, energy, communications, media) by several…
— Paolo Ardoino 🤖 (@paoloardoino) September 24, 2025
Record valuation ambitions
If completed on the reported terms, a $500 billion valuation would make Tether one of the world’s most highly valued private companies. For comparison, CNBC reported OpenAI was valued at $300 billion earlier this year, while Coinbase competitor Circle, issuer of USDC, has a market capitalization of about $74 billion worth of stablecoins outstanding.
Tether’s own USDT supply recently surpassed $172 billion, cementing its position as the most-used stablecoin in global crypto markets.
Profits, reserves, and Bitcoin exposure
Tether has built enormous profitability from parking its reserves in U.S. Treasury bills and cash‑like assets. The company reported on its official website $4.9 billion in profit during the second quarter of 2025, with Ardoino claiming margins as high as 99%, figures that remain unaudited by public market standards.
Tether has 99% profit-margin.
— Paolo Ardoino 🤖 (@paoloardoino) September 17, 2025
Beyond Treasuries, Tether has steadily expanded its reserve holdings to include over 100,000 BTC (worth more than $11 billion) and more than 50 tons of gold. That makes it one of the largest corporate holders of Bitcoin globally, and increasingly ties the company’s fate to BTC’s price direction.
Earlier this year, Tether also began issuing its stablecoin on the Bitcoin Lightning Network and announced support for RGB, a next‑generation protocol for native stablecoin issuance directly on Bitcoin.
Market skepticism
The half‑trillion valuation target has drawn skepticism from analysts. Tether has faced years of regulatory questions over its reserve disclosures. In 2021, it paid $41 million to U.S. regulators to settle allegations it misrepresented its stablecoin backing. As recently as 2024, some analysts described Tether as “the company with the most questions around reserve assets and how these assets are managed.”
Despite recurring concerns, USDT remains the backbone of crypto market liquidity. Traders globally use it as a dollar proxy when moving between exchanges and decentralized platforms.
As Bloomberg put it, valuation talks are in early stages and “details, including the size of the offering, could change.”
Outlook
Even for an industry defined by “number go up” mantras, Tether’s bid for a $500 billion valuation is ambitious. Its dominance in stablecoins, profits from reserve assets, and growing Bitcoin exposure bolster its case. But ongoing questions about transparency and the sheer audacity of the raise ensure the proposal will remain a lightning rod for both investors and regulators.
Gunel Ismayilova
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