Tether Operations Limited, the largest company in the digital asset industry, and Reku, a crypto exchange platform, are pleased to announce a strategic collaboration to broaden Indonesians’ understanding of crypto assets and blockchain technology. This initiative will be executed through a comprehensive roadshow in ten major cities across Indonesia.

The roadshow is scheduled to begin in September 2024 and run through March 2025, covering key cities including Bali, Medan, Yogyakarta, Surabaya, Malang, Padang, Palembang, Pekanbaru, and Balikpapan, with a grand finale in Jakarta. The primary goal of this collaboration is to conduct educational activities that will raise awareness of the benefits of blockchain, crypto assets, and peer-to-peer technologies. Through these efforts, Tether and Reku aim to equip Indonesians with the knowledge to make informed decisions when engaging with digital assets.

Founded in 2018, Reku is a leading crypto asset exchange in Indonesia. It provides a platform for users to invest in, buy, and sell crypto assets. Reku also helps Indonesians navigate the evolving landscape of cryptocurrency by offering regulated access to digital assets.

According to Chainalysis, Indonesia ranked 7th among 146 nations in cryptocurrency adoption in 2023. The country experienced a significant surge in crypto transactions, reaching 211 trillion Indonesian Rupiah (US$13 billion) in May. Additionally, registered crypto investors increased substantially, reaching 20.16 million in April this year. This data highlights Indonesia’s growing importance as a hub for crypto activities.

“Reku and Tether share a common vision of advancing crypto literacy, ensuring that individuals can make well-informed financial decisions in the rapidly changing digital landscape. We are excited to collaborate with Reku to combine our expertise and collectively promote knowledge and education on crypto assets and blockchain technology across Indonesia,” said Paolo Ardoino, CEO of Tether.

Reku’s co-CEO, Jesse Choi, expressed pride in formalizing the collaboration with Tether and said, “Reku aims to reach and educate thousands of participants through the literacy series with Tether during the educational roadshow in ten major cities. We hope that more Indonesians will become familiar with crypto assets and blockchain technology.”

This initiative with Reku is part of Tether’s broader strategy to drive the adoption of crypto assets in emerging markets and demonstrate the transformative power of digital finance. Central to this strategy is Tether EDU, a newly established department focused on crypto education. Tether EDU is committed to teaching individuals and communities about digital currencies’ benefits and practical uses through workshops, online courses, and collaborations with local organizations.

Tether Operations Limited, the largest company in the digital asset industry, is announcing a $3 million strategic investment in the Kem app, a platform designed for money transfers and financial management. This collaboration will see Kem App introduce USD₮ on its platform to drive widespread adoption in the Middle East. This marks a significant milestone in Tether’s mission to revolutionize traditional payment systems and foster financial inclusion on a global scale.

The Middle East and North Africa (MENA) has the sixth largest crypto economy of any region, with an estimated $389.8 billion in on-chain value received between July 2022 and June 2023. This represents nearly 7.2% of global transaction volume during this period. Crypto has been a central area of focus for several  Gulf countries, particularly Dubai and Abu Dhabi.

With the launch of USD₮ on its platform, this investment aims to improve economic conditions in neighboring countries such as Kuwait, Bahrain, Saudi Arabia, Qatar, and Iraq. Millions of expatriates in these regions would also benefit from using USD₮ and accessible financial services, alleviating concerns about hyperinflation and economic instability. 

Through this investment, residents of the GCC will have more convenient access to USD₮, utilizing established consumer financial platforms like the Kem app, which is known for enabling seamless cross-border transactions. Tether’s investment underscores its commitment to expanding accessibility and fostering global financial inclusion. This initiative also signifies a strategic expansion into the Middle East market, with Kem serving as a regional asset.

Tether is constantly working towards enabling a decentralized ecosystem that encompasses everyday consumer services. These initiatives include projects like Pear Credit, a transparent accounting system that leverages peer-to-peer technology to reach high scalability and resilience; HolePunch, a platform for peer-to-peer applications; Keet, a free peer-to-peer instant messaging application that works without the need for centralized entities on any device including a significant investment in generative AI cloud platforms. 

Paolo Ardoino, CEO of Tether, said, “This investment reinforces Tether’s commitment to promoting financial inclusion and stability. We believe that everyone should have the means to protect their families and businesses against inflation while enjoying unrestricted access to financial services. Our investment in Kem App is a testament to this belief, as the platform provides tools that simplify access to the financial system, perfectly aligning with our mission to advance financial freedom for all.” 

This collaboration sets the stage for Kem to enhance its offerings and better serve millions of underserved businesses throughout the Middle East. By incorporating cryptocurrencies into its platform, Kem aims to replicate the success of financial platforms offering cryptocurrencies in other markets, driving mass adoption and fostering a more inclusive banking landscape in the Gulf region.

Tether Press Release

On August 9, 2024, Celsius Network Limited, acting through the Blockchain Recovery Investment Consortium, LLC, filed suit against Tether Limited, and certain of its affiliates, in the United States Bankruptcy Court for the Southern District of New York.

This baseless lawsuit against Tether proves the adage that “no good deed goes unpunished.” The claims arise out of a 2022 agreement under which Tether made USD₮ available to Celsius, in amounts that Celsius requested at the time.  Under the agreement, Celsius posted bitcoin (BTC) to Tether as collateral.  As the price of BTC began to fall in June 2022, the agreement required Celsius to post additional collateral to avoid the liquidation of its BTC. When Celsius chose not to post additional BTC it directed Tether to liquidate the BTC collateral Tether held in order to close out its roughly 815 million USD₮ position with Tether. 

Rather than recognize the clear validity of the agreement entered into years before Celsius’ bankruptcy, this lawsuit seeks to improperly impose the costs of Celsius’ mismanagement and failure on Tether.  Over two years following its arm-length agreement with Tether—and armed with the benefit of hindsight—this lawsuit incredibly now seeks the return of approximately US$2.4 billion worth of BTC from Tether, despite the BTC being liquidated at Celsius’ direction and with Celsius’ consent at June 2022 prices.

The complaint is undermined by the actual facts underlying the agreement between Celsius and Tether, relies on an obvious misapplication of the law, ignores the numerous defenses that Tether has to the claims asserted against it and raises substantial jurisdictional questions.  We look forward to responding in court to this contrived, meritless shakedown that will benefit nobody other than the lawyers, bankers and consultants involved in bringing this case.  

As we’ve said many times, Tether will never fall prey to shameless litigation money grabs. We will vigorously defend ourselves against the unwarranted allegations made against us, and we expect to prevail in this litigation.

Finally we note that because of Tether’s prudent management, as recently announced, the consolidated equity of the Tether group was nearly US$12 billion on June 30, 2024.  In addition to our current consolidated equity, Tether operates an extremely profitable business with further profits accruing monthly. As a result, even in the most remote scenario in which this baseless lawsuit will get somewhere, Tether token holders will not be impacted.

Tether Press Release