Tether (USDT) CEO Shares Valuation the Company Would Receive if It Were to Go Public: Unbelievable Figures

Tether CEO Paolo Ardoino stated that the company’s market value could reach $515 billion in the event of a possible IPO.

That would make Tether the 19th largest company in the world, ahead of giants Costco and Coca-Cola. Ardoino acknowledged that the figure was impressive, but said the estimate was “a bit cautious” given Tether’s growing Bitcoin and gold reserves.

Tether’s IPO valuation is driven by the current market cap of Circle, one of its largest competitors in the industry, at $30 billion. According to internal financial models, Circle will reach $410 billion in EBITDA in 2025, which is priced at a 69.3 multiple.

Tether, which announced a net profit of $13 billion for 2024, is reported to have earned $7 billion of this profit from Treasury bonds and repo transactions. The remaining $5 billion in profit consists of unrealized gains on Bitcoin and gold assets; these gains are not included in EBITDA calculations.

Over the next year, Tether is expected to increase its USDT supply by another $50 billion to $60 billion, and will operate with an average USDT supply of $170 billion. With an average Fed interest rate of 4.2%, this would translate into EBITDA of around $7.4 billion in 2025. Based on Circle’s valuation multiple, this EBITDA figure could give Tether a market cap of $515 billion.

*This is not investment advice.