Chuyển đến nội dung chính

How Tether is Expanding the Bitcoin-Backed Credit Market through Strategic Investment

 In recent developments within the cryptocurrency arena, Tether has made a significant move by deepening its engagement in the Bitcoin-collateralised credit space. This strategic step signals a broader shift in how major players in the crypto-finance ecosystem are leveraging asset-backed lending.

Strategic Move into Bitcoin-Secured Loans

Tether has announced a strategic investment into a leading Bitcoin-collateralised lender, signalling its intent to extend beyond traditional stablecoin issuance into the broader credit market. According to the report, the borrower-side platform has already disbursed more than US$2.8 billion in BTC-backed loans, with over US$1 billion of that volume occurring in 2025 alone. 

In the third quarter of 2025 alone, the platform recorded approximately US$392 million in loan originations — nearly matching the entire volume for 2024. 

Market Potential and Growth Trajectory

The crypto-backed lending sector is forecast to grow from roughly US$7.8 billion in 2024 to over US$60 billion by 2033. This rapid upward trajectory highlights the tremendous opportunity for financial players who position themselves early in the space of asset-collateralised credit extended to crypto-asset holders.

By making this investment, Tether isn’t simply diversifying — it is effectively securing a foothold in a high-growth segment, enabling it to facilitate new credit products that allow borrowers to retain ownership of their BTC while accessing liquidity.

Why This Matters for Tether and the Crypto Ecosystem

There are a number of strategic implications:

  • Collateral innovation: By backing USDT (or other stablecoins) with crypto-asset-collateralised loans rather than purely fiat or traditional assets, Tether is expanding the concept of what backing can look like. The article notes that 7.7 % of USDT is currently backed by such collateralised loans. 

  • Enabling Bitcoin holders: This move supports the notion of “HODL but still borrow” — Bitcoin holders can potentially use BTC as collateral without selling it, preserving their exposure to upside while accessing funds.

  • Competitive posture: As more firms enter crypto-credit markets (DeFi and CeFi), Tether’s investment signals that even the largest stablecoin issuers see value in on-chain collateralised lending.

  • Regulatory and risk considerations: With credit expansion comes greater scrutiny. The blending of stablecoin issuance and crypto-backed credit may attract fresh regulatory attention, especially as asset-backed instruments become more complex.

Looking Ahead: What to Watch

For observers of the crypto markets, here are a few key questions going forward:

  • Loan quality and risk metrics: How will the underwriting, collateral-liquidation mechanisms, and borrower risk profiles evolve in large-scale BTC-backed loan programmes?

  • Impact on USDT’s backing structure: Will we see a higher proportion of crypto-asset collateral supporting stablecoins, and what does that mean for stability and transparency?

  • Regulatory frameworks: As this segment grows rapidly, how will regulators across jurisdictions respond to stablecoin issuers expanding into credit without full banking licences?

  • Competition and innovation: Will other stablecoin issuers or crypto lenders accelerate similar moves, and will we see new hybrids of lending + stablecoin issuance + collateral management?

In summary, Tether’s strategic investment into a major Bitcoin-collateralised lending platform marks a noteworthy transition: from being primarily a stablecoin issuer to becoming an active participant in the crypto credit market. This development underscores the evolving nature of crypto-finance — where credit, collateral and stablecoins are increasingly interwoven. The ripples of this move may be felt across lending markets, stablecoin backing models and regulatory dialogues alike.

Ready to start your cryptocurrency journey?

If you’re interested in exploring the world of crypto trading, here are some trusted platforms where you can create an account:

  • Binance – The world’s largest cryptocurrency exchange by volume.
  • Bybit – A top choice for derivatives trading with an intuitive interface.
  • OKX – A comprehensive platform featuring spot, futures, DeFi, and a powerful Web3 wallet.
  • KuCoin – Known for its vast selection of altcoins and user-friendly mobile app.

These platforms offer innovative features and a secure environment for trading and learning about cryptocurrencies. Join today and start exploring the opportunities in this exciting space!
🚀 Want to stay updated with the latest insights and discussions on cryptocurrency?
Join our crypto community for news, discussions, and market updates: CryptoBCC on Youtube | Telegram | Facebook | Discord |  X(Twitter)
📩 For collaborations and inquiries: CryptoBCC.com@gmail.com
Disclaimer: This is not investment advice. Cryptocurrency investments carry high risk. Always conduct your own research.

Labels:

Nhận xét

Đăng nhận xét

Bài đăng phổ biến từ blog này

Naver’s Strategic Leap into Crypto: Acquiring Dunamu to Own Upbit and Launch a Won‑Backed Stablecoin

 In a landmark move that signals the convergence of internet platforms, fintech, and cryptocurrency, South Korean tech conglomerate Naver Corporation is set to acquire Dunamu Inc., the parent company of crypto exchange Upbit, according to multiple industry reports.  Why this deal matters Here are some of the key reasons why this acquisition is so significant: Platform meets crypto‑finance : Naver, known for its dominant Korean internet portal and ecosystem, is stepping deeply into digital finance by acquiring Dunamu, which runs Upbit — one of South Korea’s largest crypto exchanges. Equity swap structure : The deal is reportedly structured as a share swap via Naver’s fintech subsidiary, Naver Financial, rather than a purely cash purchase. Sources suggest a swap ratio in the neighborhood of 1 : 3 or 1 : 4 (Naver Financial shares : Dunamu shares). Valuation implications : Market estimates put Dunamu’s valuation at about 15 trillion won , while Naver Financial is valu...
Đăng nhận xét
Read more »

Unlocking Real‑World Use: MiniPay Enables Stablecoin Spending in Argentina & Brazil

 In a major step toward making crypto more practical for everyday use, Opera’s MiniPay wallet has introduced a groundbreaking feature that allows users in Argentina and Brazil to directly spend their stablecoins — particularly USDT — through local payment systems. What’s New: “Pay Like a Local” The key innovation is MiniPay’s “Pay like a local” function, which links a user’s USDT balance to two widely used payment infrastructures in Latin America: PIX in Brazil Mercado Pago in Argentina  With this integration, MiniPay users can simply scan a QR code at a merchant and pay using their stablecoin wallet. Behind the scenes, USDT is instantly converted into the local currency (Brazilian Real or Argentine Peso) so that merchants receive fiat — no crypto exposure on their end.  Why It Matters This update bridges a fundamental gap between crypto and real-world payments: Practical Utility : Instead of holding USDT only as a speculative asset, users can now u...
Đăng nhận xét
Read more »

OKX Launches Unified DEX Trading Feature Across Base, Solana and X Layer

 In a bold move that underscores the evolving landscape of crypto trading, global exchange OKX has introduced a new feature enabling users to trade decentralized exchanges (DEXs) seamlessly across multiple blockchains — specifically Base, Solana and the network of X Corp (X Layer). According to a published update, this innovation allows traders to access both centralised exchange (CEX) and decentralised exchange functionality within one unified interface. What the new feature offers With the new integration, OKX users can: Access trading on DEX protocols in Base, Solana and X Layer, while still using the OKX app’s interface. (That is, trade on-chain without leaving the familiar OKX environment.) Upon enabling, a self-custody wallet is automatically created, giving users direct control of their wallet private keys or access. View real-time token data across these networks, and route trades from “over 100 liquidity pools” to optimise pricing. Use a simple passkey to set up this unifi...
Đăng nhận xét
Read more »