Tether or Funding Delay: $500 Billion Valuation Faces Market Test

BlockBeats News, April 4th, Stablecoin issuer Tether is pushing investors to participate in its new round of funding in the next two weeks, aiming for a valuation as high as $500 billion; if market demand is insufficient, the company may choose to postpone the funding plan.

This valuation would propel Tether into the ranks of the world's largest financial institutions, second only to JPMorgan Chase, and surpassing Bank of America. Currently, its core product USDT has a market capitalization of around $184 billion, making it the world's largest stablecoin.

Earlier reports indicated that Tether had considered raising $15 billion to $20 billion through private funding, with a valuation of around $500 billion, but the company's CEO Paolo Ardoino has stated that these numbers were more speculative discussions. Nevertheless, he has repeatedly defended this valuation, stating that the company's profitability can be compared to high-growth industries such as AI.

In addition, Tether is advancing its audit process. Reportedly, the company has engaged KPMG for the first full reserve audit of USDT reserves, with PwC participating in internal system readiness work. This move is seen as an important step towards increased transparency.

Market analysts believe that if the funding round is successfully completed, it will further solidify Tether's position in the stablecoin and broader financial sectors; however, the high valuation could also become a key obstacle in investor decision-making.