Tether, the world’s largest stablecoin issuer, is positioning itself to join Cantor Fitzgerald’s Bitcoin financing initiative, citing a longstanding business relationship. While Cantor Fitzgerald’s official announcement did not mention Tether, CEO Paolo Ardoino remains optimistic about the partnership, emphasizing its mutual benefits.
Tether’s Move into Bitcoin Lending
Cantor Fitzgerald recently unveiled plans to offer leverage services to institutional investors holding Bitcoin (BTC). Following this development, Ardoino confirmed Tether’s interest in collaborating, stating that the partnership aligns with the company’s vision for expanding its presence in Bitcoin-related financial services.
“Bitcoin lending is very interesting to us, and there are huge opportunities,” said Ardoino in an interview with Bloomberg. “Joining forces between Tether and Cantor Fitzgerald is the right thing to do.”
Ardoino pointed out that Cantor Fitzgerald’s well-established connections with institutional borrowers make it an ideal partner for Tether. Additionally, he emphasized Tether’s dominant role in tokenization and the Bitcoin ecosystem, which he believes adds significant value to the collaboration.
This potential alliance comes as Tether gains increasing global recognition, most recently being approved by Thailand’s Securities and Exchange Commission (SEC) as a legal cryptocurrency. However, Tether is also facing regulatory hurdles in Europe after being excluded from the Markets in Crypto-Assets (MiCA) regulatory framework.
Tether’s Bigger Ambitions in the US Stablecoin Market
Beyond Bitcoin lending, Ardoino has expressed a strong desire for Tether to play a key role in shaping the US stablecoin market. Despite being headquartered outside the United States, he asserts that Tether’s USDT stablecoin is well-positioned to bolster the US dollar’s dominance as the global reserve currency.
US Treasury Secretary Scott Bessent recently hinted at a shift in policy, indicating increased governmental interest in stablecoins. However, Tether faces stiff competition from rival stablecoins, including XRPL-based RLUSD, USDC, and PayPal’s PYUSD, which could challenge USDT’s market share.
Also Read: Tether Freezes $27M USDT on Russian Exchange Garantex Amid EU Sanctions, Forcing Trading Halt
Despite these challenges, Ardoino remains confident that Tether’s extensive market reach and operational strength will solidify its role in the evolving financial landscape. As the stablecoin market continues to expand, Tether’s strategic moves, including its potential partnership with Cantor Fitzgerald, will be closely watched by industry stakeholders.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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