Tether CEO Paolo Ardoino Confirmed the Company Has No Plans to Initiate an Initial Public Offering (IPO)

Tether does not go public to raise capital, Ardoino said, adding that the robust financial position of its business eliminates the need to do so.

Stablecoin issuer Tether has no plans to go public through an initial public offering (IPO), according to its CEO Paolo Ardoino. Tether does not need to raise capital through an IPO, Ardoino said, adding that the company's strong financial performance allows it to forgo a public listing.

The issuer has remained profitable over the last two years, generating $12 billion in earnings and boasting a positive cash flow. Tether does not require the additional liquidity that a public listing would provide. Instead, the company can generate liquidity through its high revenue, rendering an IPO unnecessary.

Ardoino highlighted that remaining a private company provides Tether with the agility and flexibility to drive innovation. This approach enables the company to navigate the digital asset landscape with fewer regulatory obstacles and greater operational freedom.

The company aims to continue disrupting the financial industry without the burden of public market scrutiny, hence opting out of an IPO. Ardoino's statements indicate the company's preference for maintaining its current trajectory, balancing profitability with the ability to adapt quickly.

Stablecoin Issuer Focuses on Growth Over Public Listing

Tether is expanding its operations and presence in various markets. In Turkey, the company recently announced a project to tokenize boron as part of its foray into commodity tokenization. Tether is also exploring on-site commodity lending and other related financial services.

The company's strategy involves using its earnings to build and enhance its operational base. Ardoino noted that being a private company has its advantages. In line with its growth efforts, Tether values adaptability and swift decision-making, which is facilitated by its private ownership structure.

Tether, Ripple Resist IPOs to Drive Innovation

In recent statements, Ripple CEO Brad Garlinghouse expressed a similar stance on public listing plans. Like Tether, Ripple has indicated that there will be no IPO plans. Each company maintains that private ownership aligns best with their respective missions, which prioritize innovation.

Both Tether and Ripple highlight that their available resources and revenues are sufficient for present and future growth needs. A shared perspective ultimately drives a developing trend among blockchain companies, where several choose to remain private to retain operating flexibility.

Firms also express a preference for maintaining control over their resources, enabling them to pursue their vision without catering to public shareholders.

Bitcoin Creator Statue Unveiled

Tether unveiled a life-sized statue of Bitcoin creator Satoshi Nakamoto in Lugano. The statue, which was a highlight at the third annual Plan ₿ Forum, recognized Nakamoto's contributions to decentralized finance.

The City of Lugano collaborated with Tether in setting up the statue, which serves as a testament to Bitcoin's and blockchain's impact on the global financial landscape. Through its Plan ₿ initiative, the company partners with community members to advance the adoption of Bitcoin (BTC) and blockchain technology.

Tether CEO Denies Federal Investigation Claims

Another less favorable development that soon followed the abovementioned updates was the Wall Street Journal’s report about ongoing Federal investigations into Tether. The report stated that authorities were reportedly examining the company for potential violations of anti-money laundering rules and sanctions.

However, Tether CEO Paolo Adroino quickly refuted these claims, stating that there was “no indication” of any such investigation.

As we told to WSJ there is no indication that Tether is under investigation. WSJ is regurgitating old noise. Full stop.

“We would know if we are being investigated as the article falsely claimed. Based on that, we can confirm that the allegations in the article are unequivocally false.”

The crypto market reacted to this news with volatility, as prices fluctuated in response to these news updates.