Tether, the company behind the world’s largest stablecoin, USDT, has announced a substantial investment in Bitdeer, a prominent Bitcoin mining firm.
On Friday, Tether revealed a subscription agreement to acquire up to $150 million worth of Bitdeer shares in a private placement.
The deal includes 18.6 million Class A ordinary shares and an option to purchase an additional 5 million shares at $10 each. Currently, Bitdeer shares are trading between $6 and $7.
As of Thursday, the transaction has already generated $100 million in gross proceeds, with the potential to raise an additional $50 million if the warrant is fully utilized.
“Tether sees Bitdeer as a leader in the Bitcoin mining industry, distinguished by its advanced technologies and strong research and development capabilities,” said Paolo Ardoino, CEO of Tether.
“Bitdeer’s excellent track record and top-notch management align with Tether’s long-term goals. We look forward to collaborating on key infrastructure projects.”
The market responded positively to this news, with Bitdeer’s stock (BTDR) rising over 13% in intraday trading.
This investment signifies Tether’s strategic entry into the Bitcoin mining sector, underscoring its commitment to supporting and expanding the cryptocurrency ecosystem.
By investing in Bitcoin mining, Tether aims to diversify its portfolio and bolster the stability and reliability of its USDT token through advancements in blockchain technology.
