Tether trims $20B funding plan amid $500B valuation skepticism: Report

Tether Holdings, the company behind the ubiquitous USDT stablecoin, has reportedly scaled back its highly ambitious plans for an external funding round. The original proposal sought to raise up to $20 billion in capital, predicated on achieving a staggering valuation of $500 billion. This massive fundraising effort has been significantly reduced following intense skepticism and pushback from potential investors and financial institutions. Market analysts questioned the feasibility of the $500 billion valuation, citing the continued lack of full reserve transparency, ongoing regulatory scrutiny in key jurisdictions, and the inherent volatility associated with the crypto market. The decision to trim the funding target suggests Tether is recalibrating its financial expectations in the face of significant market resistance, opting instead for a more moderate, strategic investment approach.

Source: Tether trims $20B funding plan amid $500B valuation skepticism: Report