Tether Funds Speed with $8M to Expand USDT Lightning Rails

Tether has led an $8 million funding round in Speed1, Inc., a payments infrastructure company leveraging the Bitcoin Lightning Network and stablecoins for instant global settlements. The investment, made alongside ego death capital, positions Speed to expand its real-world payment capabilities.

Tether Leads $8M Strategic Investment in Speed to Advance Lightning-Native, Stablecoin-Powered Payments
Learn more: https://t.co/RyeiRAwCqY

— Tether (@Tether_to) December 16, 2025

Speed currently processes over $1.5 billion in annual payment volume across consumers, creators, platforms, and enterprise merchants. The company’s products, Speed Wallet and Speed Merchant, serve 1.2 million users and businesses worldwide.

The investment aligns with Tether’s broader strategy to strengthen Bitcoin-aligned financial infrastructure. It also aims to expand USDT’s utility in real-world payment environments beyond traditional crypto trading use cases.

Speed’s architecture combines Lightning Network technology with stablecoin settlement. This enables high-scale money movement with low fees, strong compliance frameworks, and global reach for enterprise integrations.

Lightning Meets Stablecoin Settlement

Paolo Ardoino, CEO of Tether, emphasized the potential of combining Lightning with a stable digital dollar. He stated that Speed is demonstrating what Lightning can achieve when paired with a stable, liquid digital dollar like USDT.

Ardoino added that Tether supports teams building practical infrastructure that reduces friction in payments. He noted that Speed’s execution and adoption signal that Bitcoin-rooted networks are ready for mainstream commerce.

Speed’s platform offers instant payments with native BTC and USDT settlement options. The company provides high-reliability global routing specifically designed for enterprise-level integrations and cross-border transactions.

Niraj Patel, CEO of Speed1, Inc., commented on the industry’s evolution. He stated that crypto has lived in the world of speculation for too long and that Speed is making it usable instantly, globally, and at scale.

Patel explained that Lightning provides speed while stablecoins offer universal access. He said the company’s infrastructure brings everything together for consumers, creators, and merchants seeking reliable payment rails.

Tether’s Expanding Empire and Massive Valuation

The Speed investment comes amid significant developments at Tether. The company is evaluating a major fundraising round that could reportedly value it at approximately $500 billion.

According to Bloomberg News, Tether is looking to raise between $15 billion and $20 billion for roughly a 3% stake. The transaction would involve new equity rather than existing investors selling their positions.

Ardoino confirmed the fundraising plans on his official X account in September. He stated that Tether was evaluating a raise from a selected group of high-profile key investors.

re: Tether FUD

From latest attestation announcement (Q3 2025):

"Tether will continue to maintain a multi-billion-dollar excess reserve buffer and an overall proprietary Group equity approaching $30 billion."

Tether had (at end of Q3 2025) ~7B in excess equity (on top of the…

— Paolo Ardoino 🤖 (@paoloardoino) November 30, 2025

The funds would maximize the scale of Tether’s strategy across existing and new business lines by several orders of magnitude. Those business lines include stablecoins, artificial intelligence, commodity trading, energy, communications, and media.

A $500 billion valuation would place Tether alongside the world’s biggest private companies. This would rival SpaceX and exceed OpenAI’s $300 billion valuation from its fundraising round earlier this year.

Meanwhile, Tether has been advancing its U.S. expansion plans under President Donald Trump’s pro-crypto administration. The company recently named a CEO for its U.S. business called USAT, which will operate under the GENIUS Act.

Tether’s stablecoin USDT remains the market leader with a capitalization recently surpassing $172 billion. Rival Circle’s USDC stablecoin holds second place with approximately $74 billion in market capitalization.

Speed’s tight integration with the Lightning Network enables stablecoin settlement for users requiring price stability. This combination specifically reduces friction for cross-border transactions, creator payouts, merchant payments, and platform-level settlement operations.