Ethereum

2024

Bitcoin

<p>During a recent exchange on social media, RunnerXBT asked the burning question on the minds of crypto enthusiasts: « <em>Will Tether ever allocate a percentage of its profits to ETH, or is it a lost cause?</em>». Paolo Ardoino, the CEO of Tether, responded bluntly: «<em>Bitcoin first!</em>». Let’s find out why this company is betting everything on the crypto star, leaving Ethereum on the sidelines.</p> 
<h2 id="h-why-tether-swears-by-the-leading-crypto">Why Tether Swears by the Leading Crypto</h2> 
<p>Paolo Ardoino, at the helm of a <a href="https://www.cointribune.com/en/100-billion-dollars-for-tether-a-monumental-breakthrough-in-the-crypto-world/" target="_blank" rel="noreferrer noopener">crypto company valued at over $100 billion</a>, doesn’t mince words. For him, <strong>Bitcoin is the Holy Grail of crypto</strong>.</p>
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     <p lang="en" dir="ltr">Bitcoin is immutable. Only 21 million coins.<br>Easy choice.</p>— Paolo Ardoino 
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     <img src="https://s.w.org/images/core/emoji/14.0.0/72x72/1f350.png" alt="🍐" class="wp-smiley" style="height: 1em; max-height: 1em;"> (@paoloardoino) <a href="https://twitter.com/paoloardoino/status/1819436731134877967?ref_src=twsrc%5Etfw">August 2, 2024</a>
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  Opinion of Tether’s CEO on Bitcoin – Source: <a href="https://x.com/paoloardoino/status/1819436731134877967" target="_blank" rel="noreferrer noopener">Paolo Ardoino – X</a>
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<p>« <em>Bitcoin is immutable. Only 21 million coins. Easy choice.</em>», he asserted.</p> 
<p>In other words, why complicate things with Ethereum when you can bet on a sure thing? Last year, Tether announced that <strong>it would invest 15% of its profits in Bitcoin</strong> to bolster its reserves.</p> 
<p>With <strong>a record profit of $1.3 billion in the last quarter</strong>, Tether has stayed the course. Ardoino even confirmed that Bitcoin purchases were made through their investment arm in 2024.</p> 
<p>The issuer of the stablecoin USDT is not just playing it safe. The company is also exploring <strong>other ambitious projects</strong>:</p> 
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 <li>Investment of <a href="https://www.cointribune.com/en/crypto-tether-invests-627-million-dollars-in-bitcoin/" target="_blank" rel="noreferrer noopener">$627 million in Bitcoin</a> last April;</li> 
 <li>Launch of the gold-backed stablecoin, <a href="https://www.cointribune.com/en/crypto-tether-launches-alloy-a-gold-backed-stablecoin/" target="_blank" rel="noreferrer noopener">Alloy</a>;</li> 
 <li>Exploration of <a href="https://www.cointribune.com/en/crypto-tether-is-moving-towards-decentralized-ai/" target="_blank" rel="noreferrer noopener">decentralized artificial intelligence</a>.</li> 
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<p>Meanwhile, Ethereum continues to struggle.</p> 
<p>Bitcoin: Tether’s Star in the Face of a Stalled Ethereum</p> 
<p>One might think that <strong>Ethereum, with all its hard forks and promises</strong>, could attract Tether. Not at all! Since <a href="https://www.cointribune.com/ethereum-post-merge-lequilibre-precaire-entre-eco-responsabilite-et-centralisation/" target="_blank" rel="noreferrer noopener">the Merge update</a> in 2022, Ardoino has continually highlighted Ethereum’s shortcomings.</p> 
<p>« <em>Ethereum changes its narrative like changing clothes</em>», he said with a smile.</p>
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<p>And the numbers support him: <strong>since December 2021, the ETH/BTC pair has dropped by 45%</strong>.</p> 
<p>Even Ethereum’s recent boom in May, due to the approval of various ETFs, wasn’t enough to reverse the trend.</p> 
<p>The <strong>future price of Ethereum will depend on incoming flows</strong>, which so far <a href="https://www.cointribune.com/en/crypto-ethereum-etfs-struggle-to-convince-investors/" target="_blank" rel="noreferrer noopener">have not met expectations</a>, partly due to Grayscale product outflows.</p> 
<p>Facing this uncertainty, Tether prefers <strong>the security and long-term growth potential of Bitcoin</strong>.</p> 
<p>In conclusion, with <a href="https://www.cointribune.com/en/crypto-tether-shatters-records-with-5-2-billion-in-profits/" target="_blank" rel="noreferrer noopener">a record profit of $5.2 billion</a> in the first half of 2024, Tether remains firmly attached to its Bitcoin strategy, leaving Ethereum to the dreamers and undecided.</p>

Crypto: Why Tether’s CEO Prefers Bitcoin Over Ethereum

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