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Tether abandoned previous plans to raise $15 billion to $20 billion after potential investors expressed reservations about its valuation.
The Financial Times reported on February 4 that advisers to stablecoin issuers are currently considering options to raise at least $5 billion alone, a figure that is far lower than the figure circulated in preliminary discussions in early 2025.
Previous estimates, reported by Bloomberg in September 2025, valued the round at around $500 billion, which would place Tether among the most valuable private companies in the world.
However, this assessment was met with skepticism by investors, who said it was difficult to justify given current market conditions.
In comments to the newspaper, CEO Paolo Ardoino explained that the high figure was not a fixed target but the maximum amount the company might consider selling, stressing that Tether was achieving strong profits and was not in urgent need of external financing.
The company issues USDT, the largest stablecoin pegged to the U.S. dollar, with a total supply of about $185 billion, and last year made about $10 billion in profits from reserve revenue, especially U.S. Treasury bonds.
Despite this profitability, given Tether’s expanded exposure to Bitcoin and gold, coupled with S&P Global’s conservative rating on USDT stability through the end of 2025, some concerns remain, especially transparency around valuation and reserve composition.
The lowering of the financing target reflects the company’s response to market feedback. Whether to continue with smaller financings or postpone financing still depends on investor interest and digital currency market conditions in the coming period.
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