Stablecoin issuer Tether made a significant move by transferring nearly $780 million worth of Bitcoin into its corporate reserves, marking its largest Bitcoin acquisition since March.
Data from Arkham Intelligence shows Tether’s Bitcoin reserves received two substantial transfers on Dec. 30: one for 7,628.9 BTC and another for 775.6 BTC. These combined transfers total approximately 8,404.5 BTC, valued at $777.4 million, with Bitcoin trading around $92,500 at the time. This brings Tether’s total Bitcoin holdings to 83,759 BTC, worth nearly $7.75 billion.
Tether first announced plans in May 2023 to allocate up to 15% of its net realized operating profits toward Bitcoin purchases. The latest acquisition follows a significant addition on March 31, when the firm bought around 8,888.88 BTC shortly after Bitcoin surpassed $70,000 for the first time.
Bitcoin’s Growth Fuels Corporate Interest
Bitcoin’s price has more than doubled in 2024, up over 108% year-to-date, despite trading below its mid-December all-time high of $108,000. This price surge has driven increased interest from corporations looking to add Bitcoin to their treasuries.
Tether now holds the second-largest Bitcoin reserve among privately owned companies, trailing only blockchain software firm Block.one, which owns 140,000 BTC. Overall, Tether ranks third among both private and public companies, behind MicroStrategy, which leads with 446,400 BTC holdings, according to Bitbo data.
Corporate Bitcoin Adoption on the Rise
Bitcoin’s bullish trend has encouraged more companies to adopt the cryptocurrency as a treasury asset. KULR Technology Group announced on Dec. 16 a $21 million purchase of 217.18 BTC, leading to a 40% surge in its stock price to an all-time high of $4.80.
Similarly, Quantum BioPharma revealed on Dec. 20 that it invested $1 million in Bitcoin and other cryptocurrencies to diversify its treasury holdings.
As Bitcoin’s adoption grows, corporate treasuries are increasingly turning to the cryptocurrency to hedge against traditional financial risks and capitalize on its potential for long-term growth.
December 2024, Cryptoniteuae
