Tether Plans ‘Dramatic’ Expansion in Commodity-Trade Lending

Stablecoin giant Tether Holdings SA plans to expand “dramatically” in lending to commodities traders after extending roughly $1.5 billion worth of credit to the sector, Chief Executive Officer Paolo Ardoino said.

The El Salvador-based company plans to ramp up financing for trading in commodities including oil, cotton, wheat and other agricultural products, Ardoino said in an interview. Tether has lent out US dollars as well as its USDT stablecoin, which is pegged to the greenback, he added.

While Tether is still a minor player compared with the most active banks in commodities lending, the vast income it generates from its ...