Tether Aims for $500B Valuation, OpenAI Soars as AI & Blockchain Converge
Tether, the issuer of the world's largest stablecoin, is planning a significant update and expansion, aiming for a valuation of $500 billion. This would place it among the top 20 public companies globally, surpassing tech giants like SpaceX and ByteDance. Meanwhile, OpenAI's valuation has soared to $500 billion, making it the world's largest startup.
Tether's plans involve substantial investments in technology and regulatory adaptations, including relocating its headquarters to El Salvador, a crypto-friendly environment. While no specific companies are mentioned as contenders for implementing the stablecoin update, competitors like Circle with USDC are gaining market share, and nine European banks are developing their own Euro-based stablecoin initiatives.
The growth in Tether's valuation reflects the increasing importance of stablecoins, which are expected to be the primary currency for AI agents in the future. Greg Osuri, founder of Akash, warns that the electricity needs of AI may soon exceed the capabilities of existing power grids. Currently, more than 70% of stablecoin transactions in Q3 2025 were associated with bots, indicating the growing role of AI in the crypto ecosystem.
OpenAI's valuation has surged due to the hype around AI and its intersection with blockchain technology. The company's recent funding round saw current and former employees sell shares worth $6.6 billion to investors like Thrive Capital, SoftBank, and T. Rowe Price. In comparison, the largest crypto exchange, Coinbase, has a capitalization of about $89 billion, while other crypto companies like Ripple, Circle, and Binance have not reached a $100 billion valuation.
Tether's ambitious plans for its stablecoin and OpenAI's soaring valuation reflect the growing influence of AI and blockchain technologies. As AI's electricity needs increase, stablecoins are expected to play a crucial role in facilitating transactions. The crypto industry continues to evolve, with companies like Tether and OpenAI leading the way.
