Tether to Challenge Tech Giants in AI Sector

Tether plans to invest in the AI sector by promoting decentralization and Bitcoin ethics, such as freedom of speech and access to technology and finance. This was revealed by the company’s CEO, Paolo Ardoino, in an interview with WIRED.

“The concept of decentralization can be applied to various fields, such as artificial intelligence. We see AI becoming highly politicized, and we believe that having a player independent from traditional industry participants like Amazon, Microsoft, and Google is very important,” he noted. 

The same applies to the brain-computer interface technology (BCI), the Tether CEO pointed out. In his view, it is necessary to create tools that respect people’s privacy and ensure local use of information without transferring it to companies managing social networks. 

The firm intends to reinvest over 90% of its profits in areas that are “important to it and the community.” 

“We are not a traditional venture fund. We don’t just throw money at companies in hopes of finding a unicorn that will bring us a 100-fold return. Of course, that would be nice, but it must align with our vision. Interdependence, sustainability, and cutting out intermediaries are very important concepts for us,” Ardoino added. 

Tether earns income from U.S. Treasury bonds. Over the past 24 months, profits have amounted to about $11.9 billion, Ardoino emphasized. Some of the funds are kept in reserve to support the stablecoin, while others go to the investment division. 

In May, Tether acquired a controlling stake in BCI manufacturer Blackrock Neurotech for $200 million.

Back in March, the company announced a strategic expansion into the artificial intelligence industry.

In September 2023, the USDT issuer invested approximately $420 million in 10,000 NVIDIA H100 graphics processors in exchange for a 20% stake in the German mining company Northern Data.