Tether's Crypto Domination: Buying Bitcoin and Leading the Stablecoin Market
Tether's Bitcoin Buying Spree
Tether Increases Q1 Assets by 8,888 Bitcoin Valued at around $735 Million
Tether, the worldwide leader in stablecoins, has expanded its cryptocurrency portfolio with a massive $735 million purchase of Bitcoins on the last day of Q1 2025. This move was made despite a steep 12% price drop of Bitcoin during the quarter, one of its worst runs in seven years.
The acquisition pushes Tether's Bitcoin holdings past the 90,000 BTC mark, with estimates varying from 92,647 to 100,521 BTC. With current prices, these Bitcoins are valued between $7.64 billion and $8.29 billion.
Harnessing data from Arkham Intelligence, we know Tether made this withdrawal from its sister company and crypto exchange, Bitfinex, on Monday at 20:58 UTC. With this move, Tether fortifies its position in the crypto market.
This latest acquisition aligns with Tether's commitment made in May 2023, guaranteeing to allocate 15% of its profits toward Bitcoin purchases. This strategy helps bolster Tether's reserves via regular Bitcoin investments.
Tether's Reign in the Stablecoin Market
With a whopping $144 billion market capitalization, Tether maintains an iron grip on the stablecoin market, controlling 61% of the stablecoin market. Its most significant competitor, USD Coin (USDC), trails far behind with a measly $60 billion market cap, amounting to less than half of Tether's reigning valuation.
Beyond its dominance in cryptocurrency, Tether is making its presence felt in traditional markets too. Expanding its investment portfolio, Tether has recently increased its stake in Adecoagro, a Latin American agricultural firm, to 70%, and plans to take a 30% stake in Be Water, an Italian media company.
Ever the disruptor, Tether made headlines in 2024 when it became the seventh-largest buyer of U.S. Treasury securities, investing a staggering $33.1 billion. This puts Tether ahead of countries like Canada, Mexico, and Germany in terms of Treasury holdings.
The Price of Bitcoin and Future Prospects
As of the current market, Bitcoin takes a breather at $83,112, marking a 1.94% increase amid rising volatility. Despite temporary market setbacks, Tether's continued Bitcoin acquisitions demonstrate a long-term belief in the digital gold's potential.
In the horizon, Tether's growing Bitcoin reserves and ambitious plans might set the stage for a billion-dollar valuation, as some experts like Anthony Pompliano and Jack Mallers have predicted. With this ambitious goal, Tether will continue to redefine the cryptocurrency landscape in the years ahead.
[1] Data from CoinGecko (https://www.coingecko.com/de/empfehlungen/stablecoins)[2] Data from Tronscan (https://tronscan.org/#/account/TR7NHqjeKQxGtcR4B6XK74emdai8AXB75pB)[3] Data from Messari (https://messari.io/profile/tether-limited)[4] Data from CoinMarketCap (https://coinmarketcap.com/currencies/tether/)[5] Data from Bloomberg (https://www.bloomberg.com/news/articles/2025-05-17/tether-s-bitmap-move-puts-it-in-position-to-dominate-stablecoin-market)
- Tether's Bitcoin purchases, totaling $735 million, have significantly increased its cryptocurrency investments, positioning itself as a key player in the finance sector, particularly in the realm of investing in technology.
- Tether's dominance in the stablecoin market, with a market capitalization of $144 billion, represents more than half of the total market, solidifying its position as a leader in both the cryptocurrency and traditional finance industries.