• 26 May, 2024
News

Tether Expands Beyond Stablecoins with Four New Business Divisions

Stablecoin issuer Tether has announced a restructuring of its operations to expand beyond just stablecoin development. According to an April 18 announcement, the USDT issuer has launched four new business divisions including Tether Data, Tether Finance, Tether Power and Tether Edu.

Tether will broaden its mission towards delivering a range of infrastructure solutions for a more inclusive world,” wrote the stablecoin issuer.

Tether Power will seek to enhance the firm’s mining and energy operations. This follows an earlier announcement with the company revealing its plans to spend around $500 million on the construction of mining facilities and investments in other mining operations/

With Tether Data, the firm will look to make strategic investments in emerging technologies. These include artificial intelligence and peer-to-peer platforms like Holepunch, Keet, and Pear Runtime. 

This is in line with Tether’s recent announcement regarding the formation of its dedicated AI division on March 26. The firm has already launched a recruitment campaign for an AI research and development head, along with an AI engineer.

Tether Finance will be in charge of handling all operations related to Tether’s traditional stablecoin product and other financial services. Meanwhile, Tether Edu will look to promote digital education and work towards boosting blockchain adoption on a global scale.

According to Tether CEO Paolo Ardoino, the stablecoin issuer is now “daring to kick-start inclusive infrastructure solutions, dismantling traditional systems for fairness.” Further elaborating on the matter, he added:

With this evolution beyond our traditional stablecoin offerings, we are ready to build and support the invention and implementation of cutting-edge technology that removes the limitations of what’s possible in this world.

As of April 2024, Tether is the world’s largest stablecoin, with a market capitalization of a whopping $110 billion. The flagship stablecoin hit the $100 billion milestone for the first time in March 2024. Besides USDT, the firm is also responsible for operations of stablecoins like the Euro-pegged Tether Token EURT (EURT), the offshore Chinese Yuan (CNH₮), the gold-backed Tether Gold (XAUt), etc.

Tether has faced considerable scrutiny despite it accounting for the lion’s share of the stablecoin market. Ardoino has addressed the situation in a recent interview, claiming that securing a Big Four company as an auditor is the firm’s “top priority.”

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