Tether Holdings Inc., the company that issues stablecoins, has reaped significant benefits from the current surge in Bitcoin (BTC) prices. With Bitcoin now one of its reserve assets, the business has made almost $1.1 billion in profit on its own, representing an 85% increase in portfolio valuation since the beginning of the year.
Tether declared in May that it will begin buying Bitcoin (BTC) using 15% of its net realised operational earnings. As a result of that choice, the company has acquired 57,576 Bitcoin, which are currently valued at almost $2.4 billion at the current market rate. The average price per Bitcoin was $22,480.
Since the corporation chose to stake its claim on Bitcoin, the cryptocurrency has advanced significantly. Tether has experienced a roughly 100% increase in its overall Bitcoin hoard, with values climbing as much as 150% year to date (YTD). After reaffirming its ambitions for the top coin, the corporation has just achieved another significant positive milestone, which is highlighted by the value of its portfolio.
Tether intends to spend significantly in Bitcoin mining in addition to its consistent investment of up to $500 million towards this goal.
Bitcoin proponents in huge profits
Although Tether’s recent success with its Bitcoin investment strategy is impressive, the company is not the only significant Bitcoin supporter to make significant gains.
The portfolio of MicroStrategy, a non-crypto native company with a cache of over 174,000 BTC, has grown astronomically. MicroStrategy is a notable illustration of a resolute supporter of Bitcoin, having accumulated the cryptocurrency since August 2020 and making its most recent buy this month.
El Salvador, a country in Central America that made bitcoin its official currency, is among the top beneficiaries of the cryptocurrency boom. President Nayib Bukele of the nation stated that the country’s Bitcoin has made a profit of more than $3 million.
