In a bid to further diversify its portfolio, Tether, a prominent stablecoin issuer, has added another $380 million worth of Bitcoin to its holdings, increasing its total stash to 66,465 BTC, or approximately $2.8 billion in value.
This recent purchase, made at the close of the fourth quarter of 2023, represents Tether's third-largest Bitcoin acquisition to date, as revealed by blockchain data.
Tether initiated its venture into the world of Bitcoin investments back in September 2022 with an initial purchase of 33,980 BTC. Since then, the company has continued to steadily accumulate Bitcoin in every subsequent quarter.
One of its significant acquisitions was in March 2023, where it procured 15,915 BTC. The latest purchase of 8,888 BTC, marking the conclusion of the fourth quarter in 2023, solidifies Tether's position as one of the largest Bitcoin holders.
Ranking as the 11th largest Bitcoin holder
Tether's Bitcoin holdings first came to light in May 2023 when it disclosed its cryptocurrency assets as part of its first-quarter attestation report.
While the company has not officially revealed its Bitcoin addresses, 21.co Research Analyst Tom Wan identified an address in August of the same year that he believed belonged to Tether.
https://twitter.com/tomwanhh/status/1687304569750175744
Tether has previously stated its intention to consistently invest a portion of its profits in Bitcoin as it shifts its stablecoin reserves from traditional assets like U.S. government debt towards the world of cryptocurrencies. CEO Paolo Ardoino reiterated that Tether had announced its plans to allocate up to 15% of its profits quarterly for Bitcoin investments.
Beyond direct Bitcoin investments, Tether has also ventured into other aspects of the cryptocurrency industry, including bitcoin mining and energy production.
In November, the company committed to investing $500 million over the next six months, involving the construction of Bitcoin mining facilities and taking stakes in other related businesses. Additionally, Tether provided debt financing of up to $610 million to publicly traded Bitcoin mining company Northern Data AG following its shares' acquisition in September.
Tether's core business revolves around managing the USDT stablecoin, which has contributed to the accumulation of excess reserves totaling $3.2 billion as of September 30, 2023.
The figures were disclosed in the firm's third-quarter attestation report published in October. The awaited fourth-quarter 2023 attestation report from Tether is expected to be released in the near future, shedding more light on its financial position and cryptocurrency holdings.
