Tether, which issues the $142 billion stablecoin USDT, said in an announcement on Friday that it had purchased shares in Juventus Football Club, but did not disclose the size or value of its holdings in Juventus Turin. Juventus did not immediately respond to a request for comment.
The El Salvador-based firm has sharply increased trading volume in recent years as rising interest rates on the U.S. government bonds it manages have boosted its profits. Tether said last month it had more than $7 billion in excess capital, up from about $1 billion three months ago.
From digital payments to agricultural infrastructure, Tether’s investment areas are all-encompassing and it is rapidly expanding in the global business field. In December, it invested $775 million in social media company Rumble Inc. while taking a stake worth more than 1.32 billion euros ($1.39 billion) in German technology company Northern Data AG.
Juventus is one of the largest football teams in Europe, with assets of approximately 960 million euros, and competes in Serie A and the continent's most prestigious UEFA Champions League. Juventus shares soared after the news was announced, rising as much as 4.7% on Friday.
The Italian club's revenue has been declining. This year, Juventus's global ranking in the Deloitte Football Money League fell from 11th to 16th, with projected annual revenue of 356 million euros, the club's lowest ranking in the Money League history.
The investment in Juventus was completed by Tether Investments, the venture capital arm of Tether. Tether said in a statement that the deal is part of a broader effort to integrate digital assets into sports franchises, expanding the scope of an earlier sponsorship deal it signed with Football Club Lugano (FC Lugano) in 2023.
Tether also hopes to leverage its expertise in areas such as artificial intelligence and biotechnology. The company said it was working with Sunderland AFC co-owner Juan Sartori on the initiative. Sartori did not immediately respond to a request for comment.
As the cryptocurrency market gathers pace in 2024, football clubs have become a popular place for businesses to spend their marketing budgets. Last year, cryptocurrency exchanges Kraken and Bitpanda signed new deals with teams in the UK and Europe, and Crypto.com announced a sponsorship arrangement with the Champions League until 2027.