Leading stablecoin issuer Tether has announced it made a strategic investment in Juventus Football Club, further expanding its portfolio beyond the cryptocurrency and precious metals space.
The acquisition of a minority stake in the Turin-based Series A club, founded over a century ago, was in an announcement in which Tether stated the investment aligns with its objective of integrating stablecoins and other digital assets into everyday applications, though specific financial details were not disclosed.
The stablecoin giant indicated that this investment represents the beginning of a broader strategy to invest in global sports franchises. It aims to leverage these partnerships to promote the adoption of digital assets and payment technologies to a wider audience.
Tether’s investment in Juventus comes after a remarkably profitable year for the stablecoin issuer. The company reported $13 billion in profits in 2024, buoyed by record holdings of $113 billion in low-risk U.S. Treasury bonds. The firm’s income comes from monetizing the reserves of the leading stablecoin USDT, which has over $140 billion in tokens in circulation.
Juventus, according to Forbes, is currently ranked as the 11th most valuable football franchise globally, valued at $2.05 billion. As of May 2024, the team’s annual revenue was $459 million. The investment is part of Tether’s plan to invest over $1 billion this year.
Crypto Fan Tokens Surge on Tether’s Investment
The partnership between Tether and Juventus is part of a broader trend of increasing collaborations between cryptocurrency firms and sports organizations. These partnerships are largely driven by the crypto industry’s desire to enhance mainstream recognition of digital assets, with billions of dollars invested in such ventures.
The investment appears to have been interpreted as a signal among cryptocurrency traders, as the prices of various fan tokens started jumping after the announcement. The fan tokens of major sports clubs including S.S. Lazio, Paris Saint-Germain, FC Porto, and Galatasaray are up between 6% and 11% at the time of writing.
Juventus’ own fan club token is up more than 110% on the announcement, while shares of the football club are up roughly 1.6%.
Disclaimer
This article is provided for information only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
