The company behind the biggest stablecoin in the world, Tether, announced that it is restructuring to accommodate its foray into new digital asset categories.
To reflect its expanding focus, the company split itself into four divisions: Data will manage strategic investments in technology, including artificial intelligence (AI); Finance will oversee the USDT stablecoin, which has a market capitalization of over $100 billion and is crucial to the cryptocurrency markets; Power will handle investments in bitcoin (BTC) mining; and Edu will house educational initiatives.
"Tether’s expansion beyond its well-established USDT stablecoin signifies a paradigm shift in its approach to financial empowerment," the business stated in a statement. "By focusing on sustainable solutions adaptive to the needs of individuals, communities, cities and countries, responsible Bitcoin mining, Artificial Intelligence infrastructure and decentralised communication platforms, Tether is actively contributing to a future-proof financial and tech ecosystem."
Even though the ten-year-old corporation is already involved in these fields, the creation of separate divisions shows how much value it is placing on ventures other than its flagship stablecoin. The company made investments in Bitcoin mining facilities in Uruguay and a Georgian payment processor last year. Through its partnership with data cloud provider Northern Data Group, it also invested in AI.
However, Tether has come under intense criticism due to the impression that the reserves backing USDT are unclear.
April 2024, Cryptoniteuae