Tether Expands Bitcoin Holdings with $400 Million Investment
Cantor Equity Partners has officially reported to the SEC that Tether has acquired an additional 4,812 Bitcoin (BTC) for $458.7 million. This purchase was executed at an average price of $95,319 per BTC, which is below the current market price.
Tether's Ongoing Commitment to Bitcoin
Tether, the issuer of the world's leading stablecoin, USDT, has a significant portion of its collateral held in U.S. government bonds and cash. With interest rates remaining high, Tether has been earning substantial profits from these holdings. The company has been reinvesting these earnings into various ventures, including Bitcoin.
According to the latest quarterly report by BDO, as of March 31, 2025, Tether already held over $7.6 billion in Bitcoin, primarily acquired over the past two to three years. The recent purchase, while substantial, represents a smaller addition compared to Tether's existing Bitcoin reserves.
Supporting the Developer Community
In addition to building its Bitcoin treasury, Tether is actively supporting the developer community. Recently, Tether announced a $100,000 grant to the BTCPay Server Foundation, which develops free and open-source software. BTCPay Server is a self-hosted payment processor that enables businesses and projects worldwide to accept payments in Bitcoin and USDT.
USDT Reserves and Financial Stability
Tether's reserves in dollars and similar assets exceed the value of all USDT tokens issued. These reserves are not entirely in cash but are strategically invested to ensure liquidity and stability. In 2025, the market capitalization of USDT increased from $137 billion to $150 billion, demonstrating robust growth and resilience.
As of March 31, Tether held $121 billion in cash, bonds, and similar assets, with an additional $8.8 billion in secured loans, $6.6 billion in precious metals, $7.6 billion in Bitcoin, and $4.4 billion in other investments. This diversified portfolio ensures that Tether can quickly liquidate assets if needed.
Cantor Equity Partners and the New Venture
The declaration to the SEC was made by Cantor Equity Partners, which recently entered into a Combination Agreement with several entities, including Tether Investments and iFinex. This agreement aims to establish a new company, 21 Capital, focused on purchasing Bitcoin.
Cantor Equity Partners, a Nasdaq-listed company, is legally required to disclose such information to the SEC. The company, launched by Brandon Lutnick, plans to raise $3 billion, with half of the amount coming from Tether, $600 million from Bitfinex, and $900 million from SoftBank.
Conclusion
Tether's recent acquisition of over $400 million worth of Bitcoin underscores its commitment to cryptocurrency investments and support for the developer community. With a diversified portfolio and substantial reserves, Tether continues to strengthen its position in the cryptocurrency market, ensuring stability and growth for its stakeholders.