June 5, 2024
Latest Cryptocurrency News

Tether Invests $150 Million into Bitdeer for Bitcoin Mining Growth

In a move signaling confidence in the cryptocurrency mining sector, Tether (USDT) invests in Bitdeer, purchasing up to $150 million worth of shares in a private placement agreement.The agreement includes 18,587,360 Class A ordinary shares and a warrant for an additional 5,000,000 shares at $10.00 per share.

Financial Implications and Growth Plans

The private placement, which generated $100 million in gross proceeds on May 30, holds the potential to raise an additional $50 million if the warrant is fully exercised.

Moreover, with these funds, Bitdeer plans to bolster its data center expansion and develop ASIC-based mining rigs. Thus, solidifying its position as one of the leading players in the cryptocurrency mining industry.

Bitdeer’s data center in Texas, the United States. Source: Bitdeer

Strategic Partnership and Milestones

Bitdeer, established in 2018 and spun off from Bitmain, is renowned for its vertically integrated business model. It encompasses all aspects from raw material production to product sales. Linghui Kong, Bitdeer’s chief business officer, expressed enthusiasm about the partnership with Tether. He highlighting the potential for accelerated growth and sustained leadership in Bitcoin mining.

Furthermore, Tether CEO Paolo Ardoino also echoed this sentiment. He praised Bitdeer’s technological prowess and management team alignment with Tether’s strategic vision. The investment follows Bitdeer’s successful Nasdaq debut in April 2023 through a SPAC merger, positioning the company for further expansion under the leadership of CEO Jihan Wu.

Conclusion

While cryptocurrency mining continues to evolve, strategic investments like Tether’s infusion into Bitdeer underscore the sector’s resilience and growth potential. With both companies aligned in their commitment to innovation and sustainability, the partnership heralds a new chapter in the advancement of Bitcoin mining infrastructure and technology.

Image by storyset on Freepik

Disclosure Statement: Miami Crypto does not take any external funding, or support to bring crypto news to the readers. We do not have any conflicts of interest while writing news stories on Miami Crypto.

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