Tether scales back $20B fundraising bid amid valuation concerns

Tether has scaled back plans to raise as much as $15–20 billion in a private funding round, with several outlets reporting the company revised or abandoned the original proposal following limited investor appetite and pushback ^[1][3].

The initial proposal would have implied a valuation approaching $500 billion for the issuer of the $185 billion USDT stablecoin; reports say that concern over that valuation contributed to investor resistance and a subsequent reduction in the target size of the deal ^[4][2][5].

Coverage indicates advisers have floated much smaller alternatives — roughly a $5 billion raise — and Tether’s CEO Paolo Ardoino has downplayed the scale of the earlier proposal; the move has also renewed discussion about whether a future IPO is likely ^[5][6][3].

Observers say the pullback highlights investor skepticism and could influence Tether’s market perception and future financing strategy ^[1][5].