Tether Expands Investment Portfolio into AI Category
Tether Expands Investment Portfolio into AI Category
Tether, the largest stablecoin issuer in the cryptocurrency market, is planning to expand its operations into the field of artificial intelligence (AI) after making inroads into Bitcoin mining and P2P transaction infrastructure.
In a recent announcement on March 26, 2024, Tether declared a strategy focused on AI to assert its pioneering position in this field. This move underscores Tether’s commitment to promoting the accessibility and efficiency of AI, reinforcing its leading role in shaping the future of technology.
Tether Expands AI Focus, Welcomes Top Talent to Fuel Innovation
Read more: https://t.co/U59TVeA4BC
— Tether (@Tether_to) March 26, 2024
With a market capitalization exceeding $100 billion for its flagship stablecoin USDT and a reputation for strategic investments in various areas such as Bitcoin mining, P2P infrastructure, etc., Tether continues to affirm its innovative credentials with a new AI product called “Tether Data.”
The focus of Tether Data’s AI will concentrate on the following key areas:
- Tether Data will pioneer the development of multi-modal AI models, open-source, to establish new standards, promote innovation, and enhance the accessibility of AI.
- Tether Data will lead collaborations to seamlessly integrate AI solutions into market-oriented products, leveraging technology to address real-world challenges.
- Tether Data actively engages with a broader community through contributions, fostering open AI while introducing its creative projects.
Tether Data also announced a large-scale global recruitment effort to seek talent for its rapidly developing AI department. Expanding into advanced technology fields marks a significant milestone for the company.
Paolo Ardoino, Chief Executive Officer of Tether, stated:
AI is expected to revolutionize almost every aspect of real and digital life. Our investment in the Northern Data Group aligns with Tether’s vision of resilient technology and high performance.
Today’s announcement establishes a new division within Tether, redefining the boundaries of AI and democratizing AI technology to ensure privacy rights, while setting standards for innovation, utility, and transparency in the industry.
Notable AI-related tokens include: Worldcoin (WLD), Fetch.ai (FET), Axelar (AXL).
Introduction Tether (USDT)
Tether’s digital currency is symbolized as ₮ and referred to as Tether token or Tether coin. Each Tether token is backed by an equivalent amount of fiat currency in Tether Operations’ reserve, ensuring price stability.
To date, Tether has issued three types of tokens corresponding to three fiat currencies: USDâ‚® (US dollar), EURâ‚® (euro), and CNHâ‚® (Chinese yuan).
Currently, Tether holds over 69% of the stablecoin market share, far surpassing USDC, DAI, and FDUSD. In 2023, Tether’s success was attributed to its investment strategy of USDT assets into US Treasury bonds, generating a profit of $6.2 billion. The company utilizes this profit to establish a USDT reserve fund and invest in Bitcoin, gold, and other initiatives.
All of Tether’s US bonds are held by Cantor Fitzgerald. The CEO of Cantor Fitzgerald affirmed Tether’s sufficient asset backing for USDT value and expressed confidence in Tether’s model.
Therefore, the trajectory of the largest stablecoin issuer is expected to drive growth for AI coins, which are highly appealing to investors following the Nvidia GTC AI 2024 event.
