Tether, the leading stablecoin issuer, is reportedly seeking to raise more funds from the public. The top-tier web3 company is reportedly seeking to raise between $15 billion and $20 billion on a total valuation of around $500 billion, according to sources familiar with the matter.
Tether is looking to sell 3% of its stake to raise the funds. However, the final details of Tether’s fundraising have not been confirmed yet, so the deal may change as it progresses.
Bloomberg noted that Cantor Fitzgerald is the lead advisor for Tether’s public fundraising.
Why Tether is Raising More Funds
Tether aims to strengthen its position in the Stablecoin market amidst the increasing mainstream adoption of digital assets. The United States has been at the forefront of implementing clear crypto regulations to promote the mainstream adoption of digital assets.
Earlier this year, President Donald Trump signed the Genius Act to facilitate the mainstream adoption of digital assets. Recently, the Commodity Futures Trading Commission (CFTC) introduced a new initiative to allow the use of stablecoins in traditional derivatives.
With a total market cap of around $173 billion and a daily average trading volume of $96 billion, Tether’s USDT is well-positioned to gain more market share in the long run. The stablecoin market has a combined valuation of nearly $300 billion, and experts predict that stablecoins could surpass $1 trillion in the future.