In an encouraging development for the crypto space, Tetherthe issuer of the world’s largest stablecoin USDT, has doubled its Bitcoin investment momentum by acquiring a whopping 8,888 BTC, further diversifying its portfolio.
Tether increases its Bitcoin holdings
Tether recently made its third largest Bitcoin purchase, as a stablecoin issuer added a total of 8,888 BTC worth $380 million at the time of purchase. This brings the total BTC holdings to 66,465 BTC, valued at $2.81 billion with an average purchase price of $42,353.
This transaction was recorded by BitInfoCharts data, which also showed the previous amounts of BTC collected by the blockchain platform. This recent purchase follows Tether’s Bitcoin investment strategy, in line with its vision to continuously strengthen its reserves by accumulating Bitcoin.
Earlier in May 2023, the stablecoin issuer announced in a blog post that this would happen regularly assign Use 15% of net realized corporate profits to increase BTC reserves. At the end of March 2023, Tether owned approximately $1.5 billion in cryptocurrency, a difference of $1.3 billion from its total BTC holdings currently.
According to reports from Dune Analytics, Tether is the 11th largest Bitcoin holderwith Microstrategy, a US business intelligence service, surpassing Tether’s holdings by over 189.00 BTC accumulated. The remaining addresses in the top 10 rankings are owned by major crypto exchanges and governments, including Binance, Bitfinex and the US government.
Tether’s decision to double about his Bitcoin investments indicates his confidence in the future trajectory of the cryptocurrency. It also underlines the blockchain platform’s belief in BTC’s long-term potential as it aims to capitalize on Bitcoin’s potential growth by strengthening and diversifying its digital asset pool.
BTC price sitting at $41,354 | Source: BTCUSD on Tradingview.com
BTC Accumulation race amid ETF hype
Tether’s strategic Bitcoin purchase comes at a time when the crypto market is buzzing with excitement Discover Bitcoin ETFs. Before the adoption of Spot Bitcoin ETFs, Tether had been steadily growing its BTC portfolio and consistently purchasing significant amounts of BTC. In March 2023, the stablecoin issuer purchased 15,915 BTC and another 4,083 BTC between the months of May and September.
The timing of Tether’s BTC purchase suggests a proactive stance towards potentially capitalizing on the opportunities presented by the Spot Bitcoin ETF market and the upcoming Bitcoin halving in April.
In addition to Tether’s large-scale acquisition of BTC, Microstrategy is also another major player that has continuously increased its BTC holdings. The business intelligence software company added in December 2023, a whopping 14,620 BTC was added to his portfolio. At the time, the value of the purchase was approximately $615.7 million.
Other companies with major BTC holdings include Galaxy Digital and Elon Musk’s Tesla, as well as space exploration company SpaceX.
Featured image from Investopedia, chart from Tradingview.com
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