Tether partners with Rumble to build decentralized future
Tether invests in Rumble to support free speech
Tether, the largest player in the digital asset industry, has announced a strategic investment of $775 million in Rumble, a leading video-sharing and cloud services platform.
The deal strengthens ties between cryptocurrency and related communities while supporting Rumble's growth initiatives.
Key investment details
Tether's commitments include a primary investment of $250 million in cash, as well as support for Rumble's tender offer to purchase up to 70 million shares at $7.50 each, Crypto News reports. The total investment amounts to $775 million and 103,333,333 shares, solidifying Tether’s role as a significant shareholder in Rumble. Despite this, Chris Pavlovski, Rumble's Chairman and CEO, will retain a controlling stake in the company.
Strategic alignment
Paolo Ardoino, CEO of Tether, emphasized the shared principles underlying the partnership. “Tether’s investment in Rumble reflects our shared values of decentralization, independence, transparency, and the fundamental right to free expression. In today’s world, traditional media has increasingly eroded trust, creating an opportunity for platforms like Rumble to offer a credible, uncensored alternative,” Ardoino stated. Beyond equity, Tether plans to explore advertising, cloud services, and cryptocurrency payment solutions with Rumble, paving the way for deeper collaboration.
Chris Pavlovski expressed optimism about the partnership, highlighting the alignment of cryptocurrency and free speech values. The Rumble CEO underscored that the collaboration would not only bring substantial cash injections to the platform but also support its EBITDA breakeven goal by 2025.
Transaction overview
Tether’s $775 million investment will be directed toward growth initiatives, with Rumble launching a tender offer to purchase up to 70 million shares. The transaction is subject to customary conditions, including regulatory approval under the Hart-Scott-Rodino Antitrust Improvements Act. The deal is expected to close in Q1 2025, with Rumble’s governance structure remaining unchanged.
Broader implications
This partnership exemplifies the convergence of decentralized technologies and free speech advocacy. By joining forces with Rumble, Tether reinforces its commitment to building infrastructure that promotes independence and inclusivity.
As Rumble accelerates its expansion with Tether's backing, the collaboration underscores the growing interplay between the cryptocurrency sector and emerging decentralized platforms, setting the stage for innovation in both domains.
