Tether has asked investors to commit to a planned fundraising at a $500 billion valuation within the next two weeks, warning it may delay the raise if demand falls short. The request underscores growing uncertainty about investor appetite for the proposed valuation, The Information reported, citing unnamed sources.
The company, based in El Salvador, has been seeking fresh capital since late last year but has faced resistance from some potential backers over the high valuation. If investor commitments do not meet expectations, Tether is said to be likely to push back the fundraise.
A $500 billion valuation would place Tether among the world’s largest financial firms, exceeding the market capitalization of every U.S. bank except JPMorgan Chase. For context, JPMorgan’s market cap is about $794.55 billion and Bank of America’s is roughly $352.86 billion. Tether’s flagship stablecoin, USDt (USDT), has a market capitalization near $184 billion. The company also issues Tether Gold (XAUt) and a euro-pegged token, Tether EURt (EURt).
Reports in September said Tether was considering a private placement of $15 billion to $20 billion that could value the company near $500 billion, with Cantor Fitzgerald named as lead adviser. That plan envisioned selling roughly a 3% stake. Following those reports, CEO Paolo Ardoino wrote on X that Tether was exploring a raise from a select group of investors to scale existing and new business lines — including stablecoins, distribution, AI, commodity trading, energy, communications and media — by large multiples.
In February, Ardoino told Cointelegraph that earlier $20 billion figures were hypothetical scenarios rather than an active, finalized fundraising target. He nonetheless defended the $500 billion valuation, comparing Tether’s profit potential to major AI platforms.
Cointelegraph contacted Tether for comment and had not received a response by publication.
Separately, the Financial Times reported that Tether has hired KPMG to perform its first full audit of USDT’s financial statements, with PwC assisting to prepare internal systems. That engagement would mark a shift from relying on reserve attestations by BDO Italia toward a comprehensive audit that reviews assets, liabilities and internal controls across the balance sheet, rather than providing periodic reserve snapshots.
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