Tether, the dominant issuer of the USDt stablecoin, is reportedly embarking on an ambitious financial endeavor, aiming for a staggering valuation that would position it among the world's most valuable private companies. This move underscores the growing significance and profitability of the stablecoin sector within the broader financial landscape.
Targeting a Half-Trillion Dollar Valuation
Tether is reportedly exploring a private funding round seeking between $15 billion and $20 billion, which could propel its valuation to an extraordinary $500 billion. This audacious target places the stablecoin issuer in an elite league, comparable to the valuation aspirations of major tech innovators like OpenAI. Bloomberg sources indicate these discussions are preliminary, with Cantor Fitzgerald advising on the potential placement. Should this valuation materialize, it would firmly establish Tether as one of the most valuable private entities globally, reflecting a monumental shift in how digital asset companies are perceived.
A Quiet Giant's Profitability and Market Dominance
Despite a lower public profile compared to some tech counterparts, Tether has quietly become one of the world's most profitable companies per employee. The firm reported a massive $4.9 billion in profit in the second quarter alone, bringing its year-to-date earnings to an impressive $5.7 billion. This immense profitability underpins its ambitious valuation goals. Tether's USDt stablecoin maintains its leadership, holding a significant 56% share of the $307.2 billion stablecoin market. This dominance is bolstered by the accelerating global adoption of stablecoins, which are increasingly recognized as efficient, low-cost tools for financial transfers, expanding access, and serving as vital gateways to blockchain applications. The broader stablecoin market is also seeing robust growth, evidenced by the rising valuation of competitors like Circle Internet Group.
