Crypto Integrates into US Stock Market, Tether's USDT Business Model Detailed
Crypto Integrates into US Stock Market, Tether's USDT Business Model Detailed
Bitget has launched 'Stock+', a new service that enables users to purchase both full and fractional US stocks directly using cryptocurrencies through regulated brokers. Meanwhile, an analysis of Tether's business model reveals that the company primarily generates its revenue by earning interest on the vast reserve assets that back USDT, the world's largest stablecoin, with a significant portion invested in short-term U.S. Treasury bills and other low-risk instruments.
Bitget Enables Direct US Stock Purchases Using Crypto
Crypto exchange Bitget has introduced 'Stock+', a new offering designed to bridge the gap between digital assets and traditional finance. This service allows users to fund purchases of full and fractional US stocks directly with their cryptocurrency holdings, processed through regulated brokers. This move signifies a growing trend of integrating cryptocurrency utility into mainstream investment opportunities.
How Tether Makes Money: Understanding the Business Model Behind USDT
Tether, the issuer of USDT, the world’s largest stablecoin, operates on a business model centered around its reserve assets. The company generates revenue predominantly by earning interest on the substantial reserves that back every USDT token. When USDT is minted, Tether receives dollars or equivalent assets. These reserves are then strategically invested, with a significant portion allocated to short-term U.S. Treasury bills and other low-risk, interest-bearing instruments. The yield produced from these investments constitutes the core source of Tether’s income and profitability.