- Tether wants to buy a 51% stake in Adecoagro to grow outside the crypto industry.
- Adecoagro makes energy, which could help Tether boost its Bitcoin mining business.
- Tether’s co-founder is launching a stablecoin that offers yield and works on ETH and SOL.
Tether, the issuer of USDt, has proposed a $1.24 billion acquisition for a 51% stake in South American agro-industrial firm Adecoagro. The company aims to diversify its holdings beyond cryptocurrency, marking an expansion into traditional industries.
The proposal, submitted through its venture arm, Tether Investments, is a non-binding offer to purchase Adecoagro’s outstanding ordinary shares at $12.41 each. Tether owns 19.4% of the company, making it an existing stakeholder. The deal is subject to approval by Adecoagro’s board, with no immediate action required from shareholders.
Tether’s Investment Shift and Renewable Energy Strategy
The bid for Adecoagro aligns with its efforts to expand income streams beyond currency issuance. The enterprise sees value in the business model, which spans operations in Argentina, Brazil, and Uruguay. Following the announcement, Adecoagro’s shares surged over 10%, closing at $10.81.
Beyond agriculture, the firm produces 1.1 million MWh of energy annually. Tether’s interest in the firm signals a deeper push into power investments, particularly as it advances plans to become a leading Bitcoin miner. The issuer had previously allocated $500 million to expand its BTC mining operations, positioning itself to capitalize on surplus production from Adecoagro’s facilities.
As the largest blockchain-focused organization in terms of economic value, its potential acquisition could strengthen its foothold in traditional industries. The deal reflects its strategy to bridge crypto with other sectors, ensuring growth beyond digital assets.
Related: Tether Signs MoU with Guinea to Boost Blockchain Growth
Tether Co-Founder Introduces Yield-Bearing Stablecoin Competitor
While Tether moves into energy and agriculture, its co-founder, Reeve Collins, is returning to stablecoins. According to a recent report from Bloomberg, Collins is leading Pi Protocol, a decentralized project, set to launch on Ethereum and Solana later this year. The system will introduce a new pegged token, USP, backed by tokenized real-world assets, including bonds and other financial instruments.
Unlike traditional coins, USP holders will receive yield-bearing USI tokens in return for minting. This structure mirrors emerging models like BlackRock’s BUIDL fund, Ethena’s sUSDe ($4.5 billion supply), and Mountain Protocol’s USDM, which offers a 5% yield. With institutional players entering the stablecoin market, Pi Protocol aims to meet the demand for interest-generating digital dollars.
The introduction of yield-bearing stablecoins marks a shift in the crypto sector. As more investors seek passive income from digital assets, traditional stablecoins are evolving into financial instruments. As competition in the stablecoin market intensifies, Tether remains focused on innovation, securing long-term sustainability across multiple sectors.
