The aim of this strategic expansion is to strengthen key sectors such as compliance and finance.
From Tether’s headquarters in Hong Kong, the creator of the largest stablecoin on the market has announced its ambitious plans to double its workforce in the coming months.
Strategic Growth in Turbulent Times
In an exclusive interview with Bloomberg News, Paolo Ardoino, CEO of Tether Holdings Ltd., revealed that the company plans to reach a workforce of around 200 people by mid-2025. This substantial increase in headcount will primarily aim to strengthen two critical areas: compliance and finance.
Tether’s decision to expand its team comes at a crucial period for the cryptocurrency industry. As the market becomes increasingly regulated and monitored, the company aims to consolidate its leadership in the stablecoin sector while ensuring the integrity and security of its operations.
Ardoino stressed the importance of preserving the company’s responsiveness over time, despite the planned growth. “We are very proud of the fact that we are very agile, and we want to remain so because we want to stay flexible,” said the CEO. “We are very careful when it comes to hiring people, we only hire senior staff.”
The Giant Behind USDT
Tether has transformed itself into a financial powerhouse in the cryptocurrency world, generating an impressive $1.3 billion in profits in the second quarter of this year. Today, the company manages assets worth close to $118 billion that serve as backing for the stablecoin USDT, whose market capitalization is close to $115 billion.
This exponential growth contrasts with the small size of its current team. While other industry giants, such as Binance and Coinbase, have thousands of employees, Tether has maintained a lean and efficient structure.
However, monitoring potential illegal activity in the USDT secondary market requires increasingly automated and sophisticated tools. Ardoino emphasized that this is one of the main objectives of the planned expansion.
Challenges and Opportunities on the Horizon
Tether’s statement comes against a backdrop of increasing scrutiny from regulators and the media. A recent Wall Street Journal report explained how USDT has been used by Russian arms smugglers to evade U.S. sanctions, prompting Tether to intensify its efforts to cooperate with global authorities.
The company announced in May a strategic partnership with Chainalysis Inc. to ” methodically monitor transactions” with functions including sanctions identification. This collaboration reinforces Tether’ s commitment to maintaining the integrity of its stablecoin and preventing its use in criminal activities.
Investments and Long-Term Outlook
In addition to its core business, Tether has diversified its operations, making significant investments in cryptocurrency startups. Over the past two years, the company has invested around $2 billion in companies such as Northern Data Group and Bitdeer Technologies Group, a publicly traded cryptocurrency miner.
The investments are overseen by a team of just 15 people, attesting to Tether’s operational efficiency. However, Ardoino was wary of an overly aggressive workforce expansion.
“There’s nothing I hate more than companies, especially Silicon Valley companies, that hire hundreds of people during bull markets and then lay them off as soon as there’s a market downturn,” the CEO commented.
The Future of Tether and Stablecoins
Tether’s planned expansion could have significant implications for the future of stablecoins and the cryptocurrency ecosystem in general. By consolidating its capabilities in regulatory compliance and financial management, the company seeks not only to maintain its leadership position but also to set new standards for the industry.
Tether ‘s growth can also serve as an indicator of the overall state of the cryptocurrency market. At a time when many companies in the sector have had to downsize due to market volatility, Tether’ s expansion suggests continued confidence in the future of digital assets.
However, this growth also brings new challenges. Tether will need to carefully balance its expansion with the need to maintain the agility and flexibility key to its success to date.
