Tether, the powerhouse behind its namesake stablecoin, has announced a major investment in Rumble, a video-sharing platform known for its popularity among right-wing influencers. Flush with cash after a series of profitable years, the company is expanding its influence beyond cryptocurrency by committing $775 million to Rumble. The deal highlights Tether’s broader vision of promoting what CEO Paolo Ardoino calls “freedom tech,” encompassing decentralized finance and communication platforms that resist government and corporate control.
The investment consists of $250 million earmarked for growth initiatives to expand Rumble’s reach, with the remaining funds allocated for a tender offer to acquire up to 70 million publicly traded Class A shares at $7.50 each. This offer reflects a modest premium over the stock’s recent trading price of around $7.
In a recent interview, Ardoino explained that the decision aligns with Tether’s goal of fostering platforms that encourage free expression. He praised Rumble for operating its own cloud service, avoiding dependence on tech giants like Google or Amazon, which he believes positions the platform to uphold its commitment to censorship-free content. Founded in 2013, Rumble remains significantly smaller than YouTube, with approximately 67 million monthly active users. However, it has gained traction as a key platform for conservative voices and garnered attention after Donald Trump’s election video was accompanied by the declaration, “We are the media now.”
Ardoino envisions a future where stablecoins, like those issued by Tether, play a larger role in social media ecosystems. Although no immediate plans were revealed to integrate Tether’s blockchain technology with Rumble, the CEO suggested that such synergies could emerge over time.
Tether’s investment also comes against a backdrop of shifting dynamics in the media landscape, particularly following Elon Musk’s controversial use of X (formerly Twitter) to shape political discourse. Ardoino emphasized, however, that Tether’s involvement with Rumble is not intended to influence its editorial content. He expressed hope that the platform could remain decentralized and apolitical, contrasting it with what he called the centralized and politically charged nature of X.
This move is Tether’s second major investment outside the cryptocurrency realm. In September 2023, the company took a stake in Northern Data, a cloud and AI firm, as part of Ardoino’s vision of building a self-reliant tech ecosystem. While Tether has faced criticism in the past over its offshore operations and alleged links to criminal activity, the company has recently sought to legitimize itself through closer collaboration with law enforcement and strategic investments in high-profile ventures.
Rumble, for its part, has already seen a significant boost from Tether’s investment. Following the announcement, the company’s shares surged 35%. Chris Pavlovski, Rumble’s chairman and CEO, retains a controlling stake in the platform but now has the right to sell up to 10 million shares under the terms of the deal.
Cantor Fitzgerald, a financial institution led by an outspoken cryptocurrency advocate and Donald Trump’s nominee for Commerce Secretary, is serving as placement agent and dealer manager for the investment.
As Tether continues to expand its portfolio, its latest venture positions the company at the intersection of cryptocurrency, media, and politics, reflecting a strategy aimed at influencing broader technological and cultural trends while consolidating its legitimacy in an evolving digital economy.