Tether’s Fundraising Plans Go from Billion-Dollar Dreams to Budgeting 101

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So, Tether has decided that maybe asking for a whopping $20 billion was a bit much-like, “Hey, can I borrow your Ferrari?” level of optimism. According to the Financial Times (yes, the one with the serious business news), they’re now looking at a more modest fundraising target of $5 billion. Because who wouldn’t want to drop a few billion dollars in a heated market, am I right?

Initially, back in the dreamy days of September 2025, Tether thought it had a shot at a valuation of around $500 billion. That’s like saying you’re the richest kid in school because you’ve got a solid collection of Pokémon cards. But alas, prospective investors are raising their eyebrows higher than their bank accounts, wondering how on earth that number even makes sense.

Lower Expectations, Higher Skepticism

Paolo Ardoino, Tether’s chief executive and apparently a master of understatements, claims that the original lofty figures were never set in stone. It was more of a “Let’s throw a number out there and see if anyone bites” situation. He even said, “If we were selling zero, we would be very happy as well.” Oh sweetie, we get it-you’re profitable and don’t actually need the money, but let’s not act like we’re not all keeping our eyes peeled for some cash flow!

With USDT being the biggest dollar-pegged stablecoin out there, Tether boasts about $185 billion floating around in circulation. How do they make money? By playing the safe game with U.S. Treasuries. Last year, they raked in around $10 billion in profit, which is the kind of number that gets investors’ ears perked up, but not enough to silence the doubters.

As the FT points out, some investors remain skeptical, questioning if that $500 billion valuation is just a product of wishful thinking rather than actual growth potential. Spoiler alert: It probably is.

Profitability Meets Skepticism: A Love Story

Tether is trying to expand its portfolio beyond boring old cash reserves, dabbling in Bitcoin and gold like a teenager experimenting with eyeliner. They even bought $779 million worth of Bitcoin last quarter, because why not add a sprinkle of volatility to your already complex recipe for success?

But wait! There’s more drama! S&P Global Ratings gave USDT a big fat F on their stability scale, citing transparency issues. Ardoino didn’t take kindly to that rating, arguing that traditional metrics just don’t get him, man. Classic corporate angst.

The reduced fundraising target signals that Tether is finally paying attention to those pesky market realities instead of chasing after angelic valuations. Whether they actually go ahead with this smaller amount or decide to take a nap remains to be seen. Stay tuned, folks-it’s going to be a bumpy ride!

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2026-02-05 01:45