Stablecoin issuer Tether has significantly expanded its bitcoin holdings, acquiring 8,888 btc worth around $600 million. This latest purchase was revealed through on-chain data rather than an official announcement.
Tether has not publicly revealed its bitcoin addresses. However, transactions tracked on the blockchain show that 8,888 btc was recently sent from the Bitfinex crypto exchange to an undisclosed entity. bitcoin/address/bc1qjasf9z3h7w3jspkhtgatgpyvvzgpa2wwd2lr0eh5tx44reyn2k7sfc27a4-nodusting”>strap wallet.
The recipient's address now has more than 75,000 btc worth $5.3 billion. In May 2023, Tether revealed for the first time that it was allocating a portion of its reserves to bitcoin, with plans to invest up to 15% of its quarterly profits.
“The decision to invest in bitcoin, the world's first and largest cryptocurrency, is supported by its strength and potential as an investment asset,” Paolo Ardoino, CTO of Tether, said in the statement when they announced their bitcoin strategy.
Although it is not confirmed, bitcoin-holder-in-the-world-currently-holds-a3da658d9c16″>analysts I think the identified wallet probably belongs to Tether. The amount perfectly matches its promised buying strategy and the holdings claimed in its latest financial reports.
Tether has become a major player in the bitcoin markets and its accumulation race. The company is now estimated to be the btc.tokenview.io/en/topaccount”>seventh largest btc holder. Their constant buying, combined with that of institutional investors like MicroStrategy, reduces supply.
Critics have raised concerns about Tether's lack of transparency and potential market risks from its growing bitcoin reserve. However, their adoption of bitcoin also shows the growing widespread acceptance of the asset.
Tether aims to capitalize on bitcoin's growth while diversifying its reserves away from traditional assets such as government debt. Tether is one of the largest holders of US Treasuries in the world.
This latest $600 million acquisition is unlikely to be Tether's last. As the stablecoin leader continues to execute his bitcoin investment strategy, his influence over the bitcoin markets will only increase.
