Tether’s $500 Million Bitcoin Mining Expansion: A Strategic Move Towards Decentralization
Tether, the company behind the popular stablecoin USDT, is making a bold move into the world of Bitcoin mining with a $500 million investment. In a recent interview with DL News, Tether CEO Paolo Ardoino revealed that the company has been busy building mining facilities and power plants in Uruguay, Paraguay, and El Salvador as part of its expansion strategy.
The company’s ambitious goal is to reach 120 MW of mining power by the end of 2023 and 450 MW by the end of 2025, which would account for 1% of the Bitcoin network hashrate. Tether has already made significant investments in clean energy Bitcoin mining farms in Uruguay and El Salvador, as well as in mining company Northern Data Group.
The move comes at a time when the Bitcoin mining industry is facing challenges, with former leaders like Computing North and Core Scientific filing for bankruptcy protection. Tether’s investment in mining operations is seen as a strategic move to solidify its presence in the sector and diversify mining locations.
The company’s focus on decentralization is also evident in its exploration of AI technology. Tether aims to pioneer the development of open-source, multi-modal AI models to promote innovation and scale AI technology.
Despite its foray into mining and AI, Tether’s core business activities still revolve around USDT, the largest stablecoin in the cryptocurrency market with a total supply exceeding 100 billion. With its latest move into Bitcoin mining, Tether is poised to make a significant impact on the industry and further establish itself as a key player in the crypto space.
