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Why did Tether invest more than US$770 million in video platform Rumble? Business affairs backed by Trump circle

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Reprinted from chaincatcher

02/08/2025·4D

Author: Nancy, PANews

On February 7, video sharing platform Rumble announced that it had completed a US$775 million strategic investment from Tether. Although Tether, which earns $10 billion in annual profits, has been accelerating investment in the past few months, Rumble's cross-sector investment is still surprising.

Opportunities behind the strategic investment of over US$770 million

The investment and tender offer have been officially completed recently since Rumble announced a final agreement with Tether in December 2024 and received a strategic investment of US$775 million. As part of the transaction, Tether purchased 103,333,333 Rumble Class A common stock for a total of $775 million. Of this, $250 million will be spent on growth plans, including attracting more content creators, strategic acquisitions and enhancements to the Rumble Cloud technology infrastructure.

As a video sharing platform established in 2013, Rumble has won the favor of a large number of creators for its advocate of freedom of speech, fairer profit distribution and more copyrights, and has once become a safe haven for opposing excessive regulation of traditional social media platforms. For example, during the 2024 US presidential election, Rumble broke the record with 1.79 million simultaneous online audiences, becoming the center of political discussion.

Regarding this investment, Rumble CEO Chris Pavlovski revealed in an interview with Barstool Sports founder Dave Portnoy that the investment will drive Rumble to expand globally, attract new creators, and redefine the meaning of a free speech platform. In addition, Pavlovski also mentioned the impact of Trump's election on Rumble's mission, believing that cooperation with Tether will help Rumble expand globally, especially in areas where freedom of speech is suppressed. Integrating cryptocurrencies will change the way creators monetize content, provide encryption-based rewards and payment options, and further reduce dependence on centralized systems.

In addition, Tether's choice to invest in Rumble may be related to the close ties between the latter and Trump, and his desire to expand his business layout in the United States.

Rumble has a deep relationship with US President Trump and is even called "Trump concept stock" by the outside world. As early as the 2020 US presidential election, Trump began to switch to Rumble after being banned by mainstream social media such as Facebook, Twitter and YouTube, and lost his social media voiceover. At the same time, Trump also launched his own social platform Truth Social at that time, which used video and streaming services provided by Rumble. It is worth mentioning that in addition to Trump, Narya Capital Management, a venture capital fund of US Vice President JD Vance, has also participated in Rumble's investment.

As Trump takes office again, the friendly encryption policy environment in the United States has also attracted Tether's layout. In January this year, Tether CEO Paolo Ardoino pointed out in an interview with Bloomberg TV that the expectation of improved regulatory environment in the crypto industry, coupled with Tether's recent $775 million investment in US listed company Rumble, provides the company with an opportunity to reevaluate the US market. However, he also emphasized that although the possibility of further entry into the US market is not ruled out, regulatory clarity and specific guidance are needed to wait for the final decision to be made based on the development of the US legal framework.

Buy Bitcoin, crypto strategy helps stock prices rise sharply

Since the end of last year, Rumble has frequently appeared in the encryption field. In addition to obtaining Tether investment, Rumble is also actively building Bitcoin reserves and launching a series of related crypto products.

"Should Rumble add Bitcoin to its balance sheet?" In November 2024, Rumble CEO Chris Pavlovski launched a vote on X asking if Bitcoin should be included in the company's balance sheet and received high vote support.

Why did Tether invest more than US$770 million in video platform Rumble?
Business affairs backed by Trump
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A few days later, Rumble announced an investment of up to $20 million to purchase Bitcoin as an important part of the company's financial diversification strategy and positioned Bitcoin as a strategic asset and inflation hedging tool.

At that time, Chris Pavlovski said that Bitcoin is still in its early adoption stage, and the increase in crypto-friendly U.S. government policies and institutional investors are accelerating this process. Unlike any government-issued currency, Bitcoin is not diluted by endless printing of money, making it a valuable inflation hedge and a great addition to the treasury. The company plans to integrate cryptocurrencies into its ecosystem to create a leading video and cloud service platform for the crypto community. Of course, Chris Pavlovski also said later that this will not be the last time, implying that the company may continue to increase its holdings of Bitcoin assets in the future.

In January this year, Rumble also announced that it would launch the crypto wallet Rumble Wallet that supports Bitcoin and USDT, which will provide creators with new transaction methods. Creators can receive fan rewards and subscription revenue through these two cryptocurrencies. "A cool feature of Rumble Wallet is to use AI agents/assistants to help manage payments, suggest Bitcoin savings strategies based on past activities, reward the most watched creators, and more."

Why did Tether invest more than US$770 million in video platform Rumble?
Business affairs backed by Trump
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The layout of this series of crypto strategies has also had a positive impact on Rumble's stock price. According to Google Finance data, since Rumble announced its intention to adopt the Bitcoin funding strategy, the company's stock price has soared, with its stock price rising by the highest of 169.8%, once hitting a record high of $16.27.

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