Tether’s Bitcoin Holding Profit Surges to $1.1 Billion as Leading Cryptocurrency Surpasses $42,000
Tether, one of the world’s largest cryptocurrency issuers, saw its Bitcoin holding profits soar to more than $1.1 billion as of January 3, 2021. Tether is one of the leading companies in the cryptocurrency industry and the holding of Bitcoin is part of its business model.
Tether, founded in 2014, is a stablecoin issuer. It issues digital tokens which are linked 1-to-1 to the US dollar. This makes them attractive to investors as their value is more stable than other cryptocurrencies. Tether’s advantage over other cryptocurrencies is its ability to preserve dollar value.
The surge in profits from Bitcoin holdings occurs as the leading cryptocurrency surpasses the $42,000 mark. Bitcoin prices have surged in recent weeks, as more investors flock into the crypto market. Tether has seen its profits from Bitcoin holdings increase considerably as the coin’s value rises.
Tether also issued USDT, a stablecoin that is linked to the US dollar, just days before the Bitcoin hit its all-time high of $41,961 on Jan 2, 2021. Since the start of 2020, Tether has issued a total of more than $20 billion in USDT, with the majority of the tokens being held in circulation.
The surge in profits from Tether’s Bitcoin holdings demonstrates the importance of the company in the crypto market. As Bitcoin’s value continues to rise, investors could look to Tether as a way to preserve value while participating in the cryptocurrency market.