- Tether is seeking $15–$20 billion in funding at a $500 billion valuation, with SoftBank and Ark reportedly in talks.
- A $500 billion valuation would make Tether one of the largest private companies in the world.
- Support from SoftBank and Ark could bolster Tether’s push for mainstream legitimacy.
Tether Holdings SA, issuer of the world’s largest stablecoin, is in early discussions with major investors — including SoftBank Group Corp. and Ark Investment Management LLC — about a multibillion-dollar funding round that could place the company among the most valuable private firms globally, Bloomberg reported.
The proposed fundraising could value Tether at as much as $500 billion.
The company is seeking $15 to $20 billion in exchange for roughly a 3% stake via a private placement.
Potential $500 Billion Valuation
If the fundraising succeeds, it would mark Tether’s largest external capital-seeking effort to date and could rank the company among the world’s most valuable private businesses.
At a $500 billion valuation, Tether would surpass many global blue-chip firms in size, reflecting the scale of its token issuance and the income generated from its reserves.
Tether’s dollar-pegged stablecoin, USDT, is widely used to move value across crypto markets and beyond, offering investors a way to transact outside traditional banking rails.
The company’s reserves are held in cash-like assets, primarily U.S. Treasuries, and Tether has generated substantial interest income from those holdings.
Paolo Ardoino serves as CEO, while co-founder Giancarlo Devasini acts as chairman and remains the company’s largest shareholder.
Bloomberg estimated that a $500 billion valuation would value Devasini’s personal stake at nearly $224 billion.
Strategic Backing from SoftBank and Ark
Tokyo-based SoftBank, led by founder Masayoshi Son, has a track record of backing ambitious technology bets ranging from autonomous vehicles to semiconductors and artificial intelligence.
An investment in Tether would align with SoftBank’s strategy of pursuing disruptive opportunities, following its announced plans for large-scale investments in AI and other technologies.
Ark Investment Management, led by Cathie Wood, has also signaled strong interest in digital assets.
Ark previously invested in Circle Internet Financial, a leading competitor to Tether in the stablecoin space.
Circle’s USD Coin (USDC) currently has a market value near $74 billion, compared with about $173.5 billion of tokens issued by Tether.
Potential involvement from SoftBank and Ark could strengthen Tether’s effort to expand its footprint in mainstream finance and bolster its political legitimacy, particularly in the United States, where the company has faced scrutiny over allegations that its platform facilitated illicit transactions.
Advisory Role and Industry Impact
Cantor Fitzgerald LP, the New York-based investment bank long led by current U.S. Commerce Secretary Howard Lutnick, is advising Tether on the fundraising.
The firm also provides custody services for Tether’s assets, underscoring its central role in the company’s financial operations.
The fundraising comes as stablecoins draw increasing attention from investors, regulators, and governments.
With U.S. authorities preparing tighter oversight of digital assets, securing major financial backers could prove crucial for Tether’s position in global markets.
If talks progress and financing is secured, a $500 billion valuation would be a milestone not only for Tether but for the broader crypto ecosystem, signaling deeper integration of digital assets into mainstream finance.