Tether Invests $8 Million in Bitcoin Lightning Network Payment Startup Speed

TLDR

• Tether led an $8 million investment round in Speed, a Bitcoin Lightning Network payment startup that facilitates USDT transfers
• Speed processes over $1.5 billion in annual payment volume and serves 1.2 million users through its wallet and merchant products
• The investment supports Tether’s strategy to expand USDT usage beyond trading into everyday commerce and payments
• Ego Death Capital, a Bitcoin ecosystem-focused firm, also participated in the funding round
• Tether reported over $10 billion in profit during the first nine months of 2025, largely from interest on US Treasury holdings

Tether has invested $8 million in Speed, a payment infrastructure company that combines Bitcoin’s Lightning Network with stablecoin technology. The stablecoin giant led the funding round alongside Bitcoin ecosystem investor Ego Death Capital.

Speed operates a payment system that uses the Lightning Network for fast transactions while settling in USDT stablecoin. The company currently processes more than $1.5 billion in annual payment volume. Speed serves approximately 1.2 million users and businesses through its Speed Wallet and Speed Merchant products.

The Lightning Network is a layer-2 solution built on top of Bitcoin that enables faster and cheaper transactions. Speed uses this technology to move money quickly while offering the price stability of USDT for settlement. This combination aims to make crypto payments more practical for everyday commerce.

Tether CEO Paolo Ardoino described the investment as part of the company’s broader strategy. He said Speed demonstrates how Lightning networks can handle real commerce when paired with stablecoins. The investment aligns with Tether’s goal to expand USDT usage beyond cryptocurrency trading into mainstream payments.

Speed CEO Niraj Patel said the platform makes crypto usable for instant global payments. He stated that Lightning provides speed while stablecoins offer universal access. The company’s infrastructure connects these technologies for consumers, creators, and merchants.

Tether’s Investment Strategy

Tether has been using its profits to invest across multiple sectors. The company now backs over 140 companies in various industries. These investments span Bitcoin mining, artificial intelligence, energy, finance, and sports teams.

The stablecoin issuer’s investment capacity comes from its substantial profits. Tether reported more than $10 billion in profit during the first nine months of 2025. These profits primarily come from interest earned on US Treasury bills that back USDT.

In 2024, Tether posted $13.4 billion in total profit. The company ranks as one of the most profitable firms in the world on a per-employee basis. This financial strength has enabled Tether to pursue an aggressive investment strategy.

USDT Market Position

USDT remains the world’s largest stablecoin with a market capitalization of $186.3 billion. The token is primarily used for trading on cryptocurrency exchanges. Tether aims to expand these use cases into payment processing and commerce.

Ardoino said Tether backs teams building practical infrastructure. The company focuses on platforms that reduce friction in payments and improve access to settlement systems. Speed fits this investment thesis by targeting enterprise payments on Bitcoin infrastructure.

The Speed investment represents Tether’s continued commitment to Bitcoin-focused payment platforms. The company sees Lightning Network technology as ready for mainstream commerce applications. Speed’s existing user base and transaction volume provided evidence of market demand for such solutions.

Ego Death Capital’s participation in the round reflects broader interest in Bitcoin layer-2 payment solutions. The investment firm focuses specifically on companies building within the Bitcoin ecosystem. Speed’s combination of Lightning Network speed and stablecoin stability attracted multiple investors.

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