Tether Ventures into Renewable Energy to Power Sustainable Cryptocurrency Mining

Tether is starting cryptocurrency mining using renewable energy sources and is trying to diversify its revenue mix in order to support its own stablecoin, called USDT.

- Advertisement -

The company announced on Tuesday that it plans to invest funds in renewable energy generation, marking its first entry into the energy sector.

Tether added that it is in search of “experts in the field” to support its expansion into the RE space. Bitcoin mining is notorious for its energy intensity, relying on a network of computers around the world to verify that transactions are legitimate and circulate new currencies.

“By harnessing the power of bitcoin and Uruguay’s renewable energy potential, Tether is pioneering sustainable and responsible bitcoin mining,” said Paolo Ardoino, Tether’s CTO.

“Our unwavering commitment to renewable energy ensures that every bitcoin we mine leaves a minimal ecological footprint while supporting the security and integrity of the bitcoin network.”

Earlier this month, Tether said it would change its resource management strategy to begin investing a portion of its net profits in bitcoin.

Specifically, the company pledged to use up to 15% of its net profits to buy bitcoin, mimicking strategies from companies like Tesla and MicroStrategy.

- Advertisement -

USDT is the largest stablecoin on the market, with more than $83.2 billion in supply in circulation, according to data from CoinGecko. It competes with Circle’s USD Coin and Binance’s BUSD.

Stablecoins are used by investors to open and close positions in different cryptocurrencies without converting their money back into fiat currencies.

Tether says that each of the USDT tokens in circulation is backed 1 to 1 by an equivalent amount of assets held in reserve.

- Advertisement -

The company has come under pressure in the past as regulators and economists have questioned the integrity of the assets on which its currency is based.

Tether previously held most of its assets in commercial paper, a less liquid form of corporate debt. More recently it has replaced all of its commercial paper with US Treasury securities.

Uruguay is considered a leader in electricity generation through renewable energy, accounting for more than 98% of the total, mostly wind and hydroelectric power, according to the U.S. International Trade Administration.

READ NEXT

Previous Articles:

- Advertisement -

Latest

American Engineer Drugged, Robbed in Sophisticated London Crypto Heist

An American software engineer lost approximately $123,000 in cryptocurrency after being drugged and robbed in London.The victim was targeted by an impersonator posing as...

Max Keiser Doubts New Bitcoin Treasuries’ Discipline in Bear Market

Bitcoin-focused companies are increasingly copying the treasury strategy used by Michael Saylor's Strategy.Max Keiser raised doubts about whether these newer companies can maintain commitment...

South Korea Election Puts Crypto Policy at Center of Debate

Nearly one-third of South Koreans hold digital assets, making crypto a vital issue in the upcoming presidential election.Both major parties support crypto exchange-traded funds...

Scottsdale Residents Lose $6M to Crypto Scams; Police Respond

Scottsdale residents have reported losing over $6 million to cryptocurrency Scams in 2024.Authorities say actual losses could be higher, as not all cases are...

Ethereum Bullish Patterns Signal Altseason, 55% Rally Possible

Ethereum is showing two bullish chart patterns against Bitcoin, indicating a possible 30–55% price increase. Crypto analysts say an ETH/BTC rally could spark a broad...

Must Read

What Are Sniper Bots Used in Defi Trading?

You've heard about DeFi, but what about sniper bots? These high-speed trading tools are shaking up the crypto scene.But don't fret, you're not...