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2025-09-25 15:13:32 UTC

Cryptonomicon on Nostr: Everyone is talking about Tether raising $20B at a $500B valuation. But nobody is ...

Everyone is talking about Tether raising $20B at a $500B valuation.
But nobody is asking WHY it is doing so.

You see, Tether is the most profitable crypto company.

• In 2024 they made about $13.7B in net profit.
• In H1 2025 they booked around $5.7B.

Even on a per-employee basis they generate ~$90M+ each.

Tether clearly does NOT need more money.

So why are they raising capital?

There's a few reasons:

𝟭/ 𝗕𝗲𝗰𝗮𝘂𝘀𝗲 𝘁𝗵𝗲𝘆 𝗰𝗮𝗻.

This is peak market euphoria post-Circle IPO.

If you can grab a half-trillion valuation when the window is open, you take it.

It's once in a lifetime opportunity.

𝟮/ 𝗛𝗲𝗱𝗴𝗲 𝘁𝗵𝗲 𝗿𝗮𝘁𝗲 𝗰𝘆𝗰𝗹𝗲.

High Treasury rates won’t last forever.

Lock in a monster round while yields are fat, before the Fed eases and profits compress.

𝟯/ 𝗣𝗼𝗹𝗶𝘁𝗶𝗰𝗮𝗹 𝗶𝗻𝘀𝘂𝗿𝗮𝗻𝗰𝗲 𝗳𝗼𝗿 𝗮 𝗨.𝗦. 𝗰𝗼𝗺𝗲𝗯𝗮𝗰𝗸.

Diversify the cap table with U.S.-aligned institutions.

That de-risks policy exposure and smooths the path for a regulated U.S. stablecoin.

𝟰/ 𝗕𝘂𝘆 𝗼𝗽𝘁𝗶𝗼𝗻𝗮𝗹𝗶𝘁𝘆 𝗼𝘂𝘁𝘀𝗶𝗱𝗲 𝘀𝘁𝗮𝗯𝗹𝗲𝗰𝗼𝗶𝗻𝘀.

AI, energy, commodities, media.

Expansion takes distribution, licenses, and political goodwill—things that billions in fresh capital buy quickly.

𝟱/ 𝗧𝗵𝗶𝗰𝗸𝗲𝗻 𝘁𝗵𝗲 𝗲𝗾𝘂𝗶𝘁𝘆 𝗯𝘂𝗳𝗳𝗲𝗿.

A larger cushion calms systemic-risk fears and strengthens redemption confidence.

It also allows Tether to move further out the risk curve if needed.

𝟲/ 𝗦𝗲𝘁 𝘁𝗵𝗲 𝗯𝗲𝗻𝗰𝗵𝗺𝗮𝗿𝗸, 𝘁𝗵𝗲𝗻 𝗵𝗮𝗿𝘃𝗲𝘀𝘁 𝗹𝗮𝘁𝗲𝗿.

Once you’re marked at $500B, secondaries, employee liquidity, and talent recruitment all become easier.

It also boxes out competitors.

And then there’s the optics.

Cantor Fitzgerald’s 5% stake could go from ~$600M to ~$25B in under a year.

A whopping 42x return that headlines itself.

And Tether Co-Founder and Chairman Giancarlo Devasini?

His stake would be worth north of $200B+, putting him in the world’s top 5 richest.

Think about that.

• He didn’t build rockets like SpaceX.
• He didn’t build a new computing platform like Microsoft.
• He didn’t build the internet’s backbone like Amazon or Google.

He wrapped U.S. Treasuries into a stablecoin.

And that alone made him one of the richest people alive.

Bonkers.

P.S.
Is this the moment stablecoins officially become bigger than banks?