[Tether cooperates with Swan to expand Bitcoin mining business]
Stablecoin issuer Tether has invested heavily in expanding its Bitcoin mining operations by partnering with Swan. The managed Bitcoin mining service provided by Swan requires institutional investors to commit at least US$100 million to support the mining ecosystem and provide customized mining solutions.
Since August 2023, Swan has invested more than $330 million and has a mining capacity of 7.5 EH, which it plans to increase to 19.5 EH this year and move towards the 2026 target of 100 EH.
Paolo Ardoino, CEO of Tether, said: "Working with Swan on the mining sector has exceeded expectations. The Swan team has demonstrated a commitment to transparency and operational excellence, enabling the rapid deployment of Hashrate."
Tether is the world’s largest stablecoin issuer and plans to invest approximately US$500 million in mining. Currently the seventh largest Bitcoin holder in the world, with approximately 75,354 Bitcoins worth approximately $5.23 billion.
However, as Tether joins the mining industry, Bitcoin miners’ daily income has declined. According to Glassnode data, total revenue from block rewards and transaction fees dropped significantly to 417 Bitcoins as of May 7. In contrast, the emergence of innovative protocols such as Ordinal Inscriptions and Runes has not only generated interest in the blockchain landscape but also contributed to miner revenue.
Ki Young Ju, CEO of CryptoQuant, noted: “Applications built on Bitcoin have significantly changed the revenue stream for miners. Transaction fees now account for more than 7% of total revenue, compared with just 1% two years ago. This trend has accelerated over the past four weeks. Continued existence may strengthen network infrastructure.”
