Tether Expands Bitcoin Reserves with $735 Million Purchase, Now Holds $7.64 Billion in BTC
A big step toward building its reserves, Tether—the issuer of the world’s most widely used stablecoin, USDT—has bought an additional 8,888 BTC, worth about $735 million, in the first quarter of this year.
This purchase makes Tether one of the largest holders of Bitcoin in the world, with 92,647 BTC, worth approximately $7.64 billion. Buying that much Bitcoin in such a short time didn’t affect the price substantially, which is important for stablecoins—fiat-pegged currencies that are supposed to be worth something even when the value of other cryptocurrencies goes up and down.
Tether’s Strategy: Regular Bitcoin Purchases to Strengthen Reserves
Tether has decided to increase its Bitcoin holdings as part of a larger strategy to strengthen its reserves. In May 2023, the company made a public announcement outlining its plan to allocate a substantial portion of its profits toward the purchase of Bitcoin on a consistent, regular basis. The precise percentage of profits Tether plans to use for Bitcoin purchases amounts to 15, and the company stated in the announcement that this move is intended to further stabilize its reserves.
In the first quarter, Tether purchased 8,888 BTC, which were withdrawn from the Bitfinex exchange on the very first day of the quarter, showing the company to be swift and strategic in its actions. At the time of the purchase, Bitcoin was worth some $82,600 per coin, which makes it seem a somewhat advantageous price at which to accumulate those assets.
Tether’s ongoing purchases of Bitcoin are part of a larger movement of traditional financial institutions and companies working to weave Bitcoin and other types of cryptocurrencies into their financial architectures. By bumping up its holdings, Tether is trying not just to beef up its backup funds but also to profit from Bitcoin’s supposed “appreciation potential” and its “expected long-term maturation into a relatively stable asset.”
Tether’s Growing Bitcoin Reserves and Impressive Profitability
Tether’s total Bitcoin holdings now exceed 92,000 BTC, thanks to the addition of 8,888 BTC. This makes Tether the sixth largest Bitcoin wallet in the world. The positioning is quite favorable in the crypto space, considering that Bitcoin is the flagship digital asset and a key component of the global crypto market. At present market prices, Tether’s Bitcoin holdings are valued at approximately $7.64 billion.
The basis of the cost tied to Tether’s ownership of Bitcoin is around $41,147 for each BTC, a figure that reflects not just one-time purchases, but Tether’s ongoing accumulation of BTC over time. With Bitcoin’s price currently hovering above $82,000, Tether’s unrealized profit on its Bitcoin holdings has ballooned to an incredible $3.83 billion. That profit is massive, for sure, and it serves to illustrate just how effective or lucky or maybe a little bit of both Tether’s Bitcoin buying strategy has been so far.
USDT 发行商 Tether (泰达) 在今年一季度又购买了 8,888 枚 BTC ($7.35 亿)：
Tether 购买并储备 BTC 的地址在一季度刚结束的第一天从 Bitfinex 提出了 8,888 枚 BTC。这是 Tether 今年一季度所购买的 BTC：Tether 自 2023 年 5 月发布公告决定定期将公司利润的 15% 用来购买比特币增强储备。… https://t.co/rq6BF965M9 pic.twitter.com/8W4gwt2NAD
— 余烬 (@EmberCN) April 1, 2025
The increasing worth of Bitcoin has demonstrated to be a lucrative undertaking for Tether, with the firm’s reserves enjoying a sizeable uptick. Where the issuer of the stablecoin is concerned, its was growing Bitcoin stash also represents a vital opportunity for it to assuage any lingering concerns around the stability and security of its USDT token. The latter is meant to be pegged to the value of the U.S. dollar. Not only is Tether moving into an asset that, while uncertain, is capable of delivering much higher returns than traditional reserve assets, but it could also be a way for the firm to keep ruffling the feathers of the still-angelic Bitcoin community.
Implications for the Stablecoin Market and Bitcoin’s Role in Tether’s Strategy
Tether is buying Bitcoin at a time when the crypto market is growing up, and when digital stuff like Bitcoin is maturing into a store-of-value type. This is the largest stablecoin issuer, mind you, strategically buying up a $20 billion asset that 8:16 AM 13/10/23 helps fortify the mainstream legitimacy of said asset as something you can put in a vault and trust to stay there for several years.
Additionally, Tether’s actions amplify an emerging shift among stablecoin issuers to spread their reserves into a wider array of asset types beyond the usual fare of cash, cash equivalents, and short-term government securities. Regulating authorities have begun to pay a lot more attention to the stablecoin area of the crypto market, and Tether holds a significant amount of Bitcoin. What’s next in the stablecoin world?
Tether could be holding Bitcoin just in case the fiat-linked reserve market ever does experience the kind of significant volatility that some crypto enthusiasts have long forecast. Otherwise, most would presumably expect that Tether has a considerably level of asset transparency now, especially in the event of regulatory scrutiny.
The Road Ahead: Tether’s Future Plans and Market Impact
While Bitcoin is an asset Tether also holds, it is not—the pending tech company moves aside—an asset that Tether regularly trades. Rather, Tether continues to purchase Bitcoin on a consistent basis. And for that reason, it seems Tether’s imminent future will remain tethered to (ahem) Bitcoin.
Although Tether’s accumulation of Bitcoin might appear to be a passive strategy, the move has active market implications. As one of the largest holders of Bitcoin, Tether’s actions could influence the market price of Bitcoin, especially during times of significant buying activity. Tether’s upsurging Bitcoin position could also provide another layer of security for USDT users, boosting the confidence that the stablecoin is backed by more than just cash and cash equivalents.
To sum up, Tether’s choice to buy 8,888 BTC in the January to March part of this year is a straightforward signal of the company’s long-standing vow to beef up its reserves and bring greater stability to its operations. Tether’s total Bitcoin bet now stands at 92,000 and change, or a little more than 0.4% of the total supply of Bitcoin (around 21 million). Tether is thus not just an operator in the Bitcoin market but also one of the biggest and most influential players in terms of the stablecoin idea.
Disclosure: This is not trading or investment advice. Always do your research before buying any Metaverse crypto coins.
