Key Takeaways
- Tether CEO Paolo Ardoino says traditional banks are reluctant to follow Tether’s strategy.
- High operational costs and low returns deter banks from entering underserved markets.
- Tether is blending profit with impact by delivering infrastructure in regions legacy finance has ignored.
In a recent interview , Tether CEO Paolo Ardoino addressed a striking question: Why haven’t banks copied its model if Tether is among the most profitable companies in history?
“Because banks wouldn’t dare go where Tether is willing to operate,” Ardoino said.
Tether’s Unlikely Expansion into the Global South
While traditional banks cling to safe markets and wealthy customers, Tether is making high-stakes bets on the developing world.
Ardoino says the company isn’t just chasing returns—it’s building infrastructure in regions that banks and governments have consistently neglected.
Case in point: Africa.
The CEO shared that Tether has deployed roughly 300 solar-powered kiosks across Africa, including Nigeria, Kenya and Mozambique.
Tether has deployed over 300 solar-powered kiosks across Nigeria, Kenya, and Mozambique—targeting communities where 600 million people still live without reliable electricity.
Despite lacking basic power, mobile phone usage remains high, creating a unique opportunity.
Each kiosk, powered by solar panels and rechargeable batteries, allows residents to swap out dead batteries up to four times a month for just 3 USDT.
The company plans to scale to 10,000 kiosks by 2026 and 100,000 by 2030, potentially reaching 60 million people with power and access to dollar-denominated digital assets.
The Reason Banks Stay Away
According to Ardoino, banks have no interest in serving the bottom of the pyramid.
“They rely on legacy distribution and expect $150 a year in client fees,” he said. That model breaks down in economies where people earn just a few dollars a day.
“Banks don’t show up for the people who need them most,” Ardoino added.
For banks, high costs and low margins don’t compute. For Tether, they’re a feature—not a bug.
A New Kind of Infrastructure Investment
Unlike traditional NGOs and charities, which Ardoino criticized for spending up to 80% of donations on overhead, Tether is placing capital directly into infrastructure.
Each kiosk doubles as a local economic hub, offering access to mobile charging, essential goods, and digital transactions.
“You might be able to see the difference from space,” Ardoino said, half-joking. The company says its goal is to light up darkened stretches of the African continent.
Beyond power, the kiosks are designed to enable commerce. Locals can place online orders for goods like fertilizer and clothing—further jump-starting village-level economies.
Tether currently serves more than 400 million users and manages $143 billion in assets. But Ardoino says this is just the beginning.
If the company successfully captures the unbanked global population—estimated at 3 billion people—Ardoino believes Tether could scale to managing $1 trillion in assets.
“Between millions of robots and AI agents, the only thing I know for sure is that the next 15 years will be insane,” he said.
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