Tether, the stablecoin issuer, has announced its intentions to double its workforce within the next year. This move comes as part of the company’s efforts to strengthen areas such as compliance. By mid-2025, Tether aims to have around 200 employees, up from the current number. Chief Executive Officer Paolo Ardoino emphasized the need to expand the team, particularly in the finance department, to manage the $118 billion in assets that back the USDT stablecoin. Despite its comparatively small team, Tether has managed to become a financial powerhouse, generating a net operating profit of $1.3 billion in the second quarter of 2024.
While the plans for expansion are in place, Ardoino also expressed caution about growing the workforce too rapidly. He highlighted his disapproval of companies that hire extensively during bullish market periods only to lay off employees when the market turns downwards. This approach, he believes, is unfair to the employees. Tether has taken a more conservative approach to hiring, focusing on bringing in senior professionals. Ardoino stressed the importance of maintaining flexibility within the organization while ensuring that the team consists of experienced individuals.
Tether’s focus on compliance and risk management is evident in its efforts to monitor potential illicit activities involving USDT on secondary markets. The company recognizes the need for advanced tools, particularly automation, to track transactions across exchanges and over-the-counter desks efficiently. While Tether engages in direct transactions in the primary market, it has faced criticism for the illicit use of USDT on secondary markets. Partnering with blockchain surveillance firm Chainalysis, Tether aims to enhance its monitoring capabilities to ensure compliance with international sanctions and identify potentially risky or illicit transactions. This collaboration reflects Tether’s commitment to working with global authorities to prevent unlawful use of its stablecoin.
In addition to enhancing its compliance efforts, Tether has invested in companies like Northern Data Group and Bitdeer Technologies Group. Despite having a relatively small team managing these investments, Tether plans to continue its investment activities. The company’s strategic investments demonstrate its vision for long-term growth and diversification. Ardoino’s cautious approach to expansion extends to the investment portfolio, emphasizing the importance of sustainable growth and responsible decision-making.
Tether’s plans to double its workforce and strengthen compliance underscore its commitment to sustainable growth and risk management. By expanding its team and investing in advanced monitoring tools, Tether aims to navigate the evolving regulatory landscape effectively. As the company continues to grow and innovate in the digital asset space, its focus on compliance and responsible business practices will be crucial in maintaining its leadership position.
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