Tether Invests $100 Million in Crypto Bank Anchorage Digital

Tether Holdings SA invested $100 million in Anchorage Digital Bank NA, boosting the federally charted crypto bank’s valuation to $4.2 billion.

The investment builds on an existing partnership between the stablecoin giant and the lender. Last month, Tether — the world’s largest issuer of digital tokens pegged to the US dollar — launched the USAT stablecoin, issued by Anchorage Digital, as part of efforts strategy to re-enter the US crypto market. Tether has been absent from the US for years after paying a $41 million fine to settle allegations it misrepresented its reserves.

“Tether’s investment reflects its view that ...