As a seasoned crypto investor with a deep understanding of the market trends and players, I am thrilled to witness Tether’s strategic investment in Bitdeer, a leading cryptocurrency mining firm. This partnership is a testament to Tether’s commitment to fostering technological advancements and driving growth within the Bitcoin mining sector.
Tether, the leading stablecoin operator globally, has obtained up to $150 million worth of shares from Bitdeer, the cryptocurrency mining company founded by Jihan Wu. The agreement consists of a $100 million direct purchase and an option for an extra $50 million. This strategic alliance indicates a strong partnership geared towards promoting technological progress in Bitcoin mining.
Tether Invests $100M in Bitdeer Shares
Bitdeer made public that I purchased 18,587,360 Class A ordinary shares using Tether (USDT) initially. Moreover, I have an option to buy an additional 5,000,000 shares at $10.00 per share in the future. Following this announcement, Bitdeer’s stock price surged by more than 4% to $6.08 during pre-market trading. The market’s optimistic response to Tether’s significant investment and belief in Bitdeer’s strategic expansion plans led to this upward trend.
Additionally, the partnership between Bitdeer and the stablecoin issuer has already resulted in $100 million in gross revenues from share offerings. Should the warrant be fully exercised by the stablecoin issuer, an additional $50 million would be secured for Bitdeer. These funds are designated for crucial initiatives such as increasing data center size and engineering advanced ASIC mining rigs. The financial injection from Tether is poised to substantially enhance Bitdeer’s Bitcoin mining capabilities in terms of sustainability and efficiency.
Bitdeer’s chief business officer, Linghui Kong, expressed enthusiasm about Tether’s investment.
“Thanks to Tether’s backing, we are well-positioned to boost our expansion and maintain our position as a pioneer in eco-friendly and productive Bitcoin mining,” Kong expressed.
Through this collaboration, Bitdeer secures the required funding and gains validation for its mining methods and advanced technology within the intense mining industry competition.
Tether Diversifies with Investments in Tech, Europe
As a researcher examining the partnership between Tether and Bitdeer, I’d note that Paolo Ardoino, CEO of Tether, emphasized the strategic alignment between the two companies. He specifically pointed to Bitdeer’s market strength, which is underpinned by advanced technology and a dedicated R&D team.
“According to Ardoino, Bitdeer’s impressive history and elite leadership squad harmoniously match Tether’s future plans.”
It is anticipated that the two companies will work closely together to improve the essential infrastructure for the Bitcoin mining sector.
The Bitdeer investment made by USDT corresponds with their recent strategy to broaden investment areas. Previous news disclosed Tether’s $200 million injection into Blackrock Neurotech, which focuses on enhancing brain-computer interface technology. Furthermore, USDT has shared intentions to widen its presence in Europe through investing in the payment processing platform CitiPay.io.
Bitcoin Accumulations Worth $2.5 Bln Ignite Market Frenzy, Bull Run Ahead?
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2024-05-31 17:25