In a significant move to bolster its corporate Bitcoin (BTC) reserves, stablecoin issuer Tether transferred nearly $780 million worth of Bitcoin on December 30. According to Arkham Intelligence, Tether’s tagged wallets received two substantial transfers totaling approximately 8,404.5 BTC, now valued at $777.4 million with Bitcoin trading around $92,500. This marks Tether’s largest Bitcoin acquisition since March and raises its total holdings to 83,759 BTC, worth approximately $7.75 billion.
This strategic allocation aligns with Tether’s May 2023 commitment to channel up to 15% of its net operating profits toward Bitcoin purchases. The last major addition, made on March 31, involved 8,888 BTC following Bitcoin’s surge past $70,000. The cryptocurrency has since doubled in price in 2024, reaching an all-time high of $108,000 mid-December before slightly retracting.
Tether now ranks as the second-largest private Bitcoin holder, trailing only blockchain firm Block.one with its 140,000 BTC treasury. Overall, Tether stands third among private and public companies, with MicroStrategy leading the pack with an unmatched 446,400 BTC.
Bitcoin’s meteoric rise in 2024 has reignited corporate interest in the cryptocurrency as a treasury asset. Several firms have jumped on the Bitcoin bandwagon, aiming to enhance shareholder value. Notable recent adopters include KULR Technology Group, which purchased 217.18 BTC for $21 million in mid-December, propelling its stock price by over 40% to a record $4.80. Similarly, Quantum BioPharma diversified its treasury with a $1 million investment in Bitcoin and other crypto assets on December 20.
The growing trend of corporate Bitcoin treasuries highlights the increasing recognition of Bitcoin as a hedge against inflation and a tool for financial diversification. Tether’s latest move underscores the stablecoin issuer’s confidence in Bitcoin’s long-term potential, even as it grapples with the volatility of the cryptocurrency market.
Also Read: USDT Delisted from EU Exchanges, Is This Tether FUD a Buying Opportunity?
As Bitcoin maintains its upward trajectory, corporate adoption and strategic acquisitions like Tether’s are likely to remain key drivers of market sentiment, further solidifying the cryptocurrency’s position in the global financial landscape.
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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