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Former Tether CIO seeks to sell stake in stablecoin issuer, Bloomberg reports
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- DeepHorus
Former Tether chief investment officer Richard Heathcote is seeking to sell part of his 1.26% stake in the stablecoin issuer, according to a Bloomberg report citing people familiar with the matter. Heathcote stepped down as Tether's CIO in March to take an advisory role after overseeing the company's investment portfolio. The planned sale involves only a portion of his ownership, potentially offering a rare glimpse into the private company's ownership structure.
Tether, which issues the world's largest stablecoin USDt (USDT), remains privately held despite being one of the crypto industry's most profitable firms. With a circulating supply of roughly $184 billion, USDT commands about 59% of the stablecoin market, according to DefiLlama data. The company has consistently maintained that it has no plans to go public, even as other crypto firms pursue or delay initial public offerings (IPOs).
The sale comes amid growing regulatory pressure on Tether in Europe. USDT has been delisted by a rising number of platforms authorized under the European Union's Markets in Crypto-Assets (MiCA) framework, after Tether opted not to comply. Revolut announced in April 2025 that it would remove the stablecoin from its platform, following similar moves by other exchanges.
While Tether CEO Paolo Ardoino has stated outright that the company does not need to go public, several other crypto companies are weighing IPOs. Kraken, for instance, raised $500 million at a $15 billion valuation in September 2025 and confidentially filed for an IPO with the SEC. However, Bloomberg later reported that Kraken's IPO could be pushed back to 2027 due to layoffs linked to expanded AI use.
South Korean exchange Bithumb also announced in April 2025 that it is delaying its IPO until after 2028, citing the need to strengthen accounting policies and internal controls after regulatory setbacks. These contrasts highlight Tether's unique position as a profitable private stablecoin issuer with no immediate public listing ambitions.
The Heathcote sale could provide market observers with a valuation benchmark for Tether, though the exact terms remain undisclosed. The transaction may also signal insider views on the company's future amid mounting regulatory scrutiny.
Looking ahead, Tether's ability to navigate the European regulatory landscape will be critical, as MiCA compliance becomes increasingly important for stablecoin issuers. Meanwhile, the broader crypto IPO landscape remains uncertain, with companies like Kraken and Bithumb facing delays. Tether's private status and strong profitability may continue to shield it from market pressures, but the Heathcote stake sale could be an early indicator of changing investor sentiment.
