Key takeaways. Tether, led by CEO Paolo Ardoino, is investing in distributed artificial intelligence and brain-computer interfaces.
Tether Evo, the venture capital arm of #Tether , has acquired stakes in #Blackrock Neurotech and Northern Data Group.
The company claimed revenues of $5.2 billion for 2024, but has faced scrutiny in the past for transparency issues and alleged illegal activities. Paolo Aldino, Tether's CEO, has made a major pivot to venture capital investment, steering the company in an unknown direction.
After skyrocketing profits (the company earned $5.2 billion in the first half of 2024), Tether, a leading issuer of stub-funds, now wants to redirect its wealth into emerging technologies.
Aldino, who took over as CEO in December after six years as CTO, is taking a big step in a new direction: distributed artificial intelligence (AI) combined with brain-computer interfaces. He said he plans to compete with major tech companies such as Microsoft, Google and Amazon.
Mr. Ardoino said Tether will generate the energy for these new projects using its $118.5 billion in reserves, most of which are held in short-term bonds.
Tether's venture capital investment arm, Tether Evo, is also gaining momentum. It has already invested a majority stake in Blackrock Neurotech, a neuro-implant company, and Northern Data Group, which provides infrastructure for training artificial intelligence models. The goal is to allow Tether to profit from projects that disrupt artificial intelligence and promote a decentralized philosophy.
Tether aims to make the most of its vast cash reserves: according to Ardoyno, more than 90% of profits will not be distributed as dividends, but will be reinvested in projects in line with Tether's venture capital investments.
Innovations of Tether continue to be controversial, and in 2021, the company entered into a $41 million settlement with US regulators over the lack of transparency of its reserves.
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