Tether Adds 8,888 BTC To Strategic Reserve
Tether is earning almost $5 billion per year on its bond portfolio.
Stablecoin company Tether has continued in its plan to accumulate bitcoin in its strategic reserve, with a purchase of 8,888 BTC for $380 million. The company now holds a total of 66,465 BTC, worth $2.7 billion, making it the 11th largest holder of bitcoin.
Large BTC Buyers
The update comes at a time when large buyers, including ETFs, are proving a significant source of demand for BTC.
Additionally, Microstrategy continues to accumulate, with more enormous purchases.
Tether began buying BTC in September 2022, and continues to buy BTC every quarter. The company earns significant income from its bond portfolio. US Treasuries form the majority of Tether's holdings. These are cash-like instruments that are highly liquid and can be converted to dollars easily, allowing money to pass between the blockchain ecosystem and TradFi relatively frictionlessly.
With almost 95 billion USDT in circulation, and US interest rates above 5%, Tether will be earning almost $5 billion per year.
Tether has also been investing heavily in Bitcoin mining infrastructure in recent months, embedding itself as a key player in the wider crypto ecosystem.
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