Bitdeer gains $150 million from Tether for ASIC-based mining rig development – Crypto News – Crypto News
Connect with us
Bitdeer gains $150 million from Tether for ASIC-based mining rig development Bitdeer gains $150 million from Tether for ASIC-based mining rig development

Cryptocurrency

Bitdeer gains $150 million from Tether for ASIC-based mining rig development – Crypto News

Published

1 year ago

on

Stablecoin issuer Tether has entered into an agreement to acquire up to $150 million worth of shares from prominent Bitcoin mining firm Bitdeer via a private placement deal, according to a May 31 statement.

Under the agreement, Tether has acquired 18,587,360 Class A ordinary shares from the BTC miner for $100 million. It could purchase up to 5,000,000 additional shares at $10.00 per share, translating to an extra $50 million. Cantor Fitzgerald & Co. acted as the private placement agent.

Following the news, Bitdeer shares jumped over 8% at pre-market trading to $6.35 as of press time, according to Google Finance data.

Bitdeer to fund expansion

The Singapore-based company intends to use the net proceeds from this investment to fund its data center expansion, ASIC-based mining rig development, working capital, and other general corporate purposes.

Bitdeer’s chief business officer, Linghui Kong, said:

“With Tether’s support, we are poised to accelerate our growth and continue our leadership in sustainable and efficient bitcoin mining. This partnership marks a significant milestone for Bitdeer, and we look forward to achieving great things together.”

Paolo Ardoino, CEO of Tether, added:

“Bitdeer’s proven track record and world-class management team are perfectly aligned with Tether’s long-term strategic vision. We anticipate close collaboration with Bitdeer across several key infrastructure areas moving forward.”

Tether’s growing businesses

This latest venture marks Tether’s ongoing push into the crypto mining sector, following a significant capital investment in Swan’s Managed Bitcoin Mining service.

In Apil, Tether revealed it was splitting into four divisions—Tether Data, Tether Finance, Tether Power, and Tether Edu—to reflect its broader interest in developing the emerging industry. The company revealed that this move aimed to broaden its influence and diversify beyond its core stablecoin operations.

Meanwhile, these diversification efforts coincide with Tether’s record financial performance. During the first quarter, the company posted substantial profits, with its USDT market capitalization rising to a new high of $111 billion, accounting for 77% of the top 10 stablecoins trading volumes on centralized exchanges, according to CCData.

Mentioned in this article
Related Topics:
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Trending