Investment giants SoftBank Group and ARK Investment Management are competing to invest in Tether, with a potential combined investment of $20 billion, valuing the company at up to $500 billion. Tether CEO Paolo Ardoino is exploring a fundraise from select high-profile investors and hinted at expanding into new business areas.

Tether’s dominance in the stablecoin market has attracted investor interest, reflecting its evolution into a strategic financial asset. The GENIUS Act in the US has elevated stablecoins as a national priority. Tether’s USDt remains the largest stablecoin with a market cap of approximately $173.6 billion, and its circulating supply continues to rise steadily.

Tether reported a net income of $4.9 billion in the second quarter of 2025, a 277% increase from the previous year, driven by its core business of issuing the USDt stablecoin and investing reserves in yield-generating assets, primarily US Treasury bills. The surge in short-term Treasury yields has significantly boosted Tether’s earnings.

Tether holds over 100,000 BTC and generates revenue from secured lending in addition to interest income. The company is diversifying its operations into new sectors like infrastructure and energy production, with a venture capital investment in Arcanum Capital. Despite its profitable core business, Tether is seeking to expand and evolve.

Read more at Cointelegraph: SoftBank, ARK Eye Stake in Massive Tether Fundraise: Report