SCHEDULE 13D/A: Tether Entities Increase Stake in Bitdeer Technologies Group to 22.8%

Tether Holdings, S.A. de C.V. and its subsidiaries, along with Giancarlo Devasini, have increased their beneficial ownership in Bitdeer Technologies Group to 22.8% through recent open market purchases and warrant exercises.

Summary

• Tether Holdings, S.A. de C.V., Tether International, S.A. de C.V., Tether Investments, S.A. de C.V., and Giancarlo Devasini (collectively, the "Reporting Persons") have filed Amendment No. 6 to their Schedule 13D.
• The Reporting Persons collectively beneficially own 34,066,689 Class A ordinary shares of Bitdeer Technologies Group, representing 22.8% of the outstanding Class A Shares.
• This ownership includes 10,292,702 Class A Shares held by Tether Investments, S.A. de C.V., 18,587,360 Class A Shares held by Tether International, S.A. de C.V., and 5,186,627 Class A Shares that may be acquired upon the exercise of warrants held by Tether International, S.A. de C.V.
• The percentage ownership is calculated based on 149,286,361 Class A Shares outstanding, which includes 144,099,734 shares outstanding as of January 2, 2025, plus the 5,186,627 warrant-exercisable shares.
• Tether Investments, S.A. de C.V. made open market purchases of 3,999,900 Class A Shares between February 26, 2025, and April 7, 2025, at prices ranging from $7.7602 to $10.00 per share.
• Giancarlo Devasini, as President of Tether Holdings and Tether International, and Sole Administrator of Tether Investments, has shared voting and dispositive power over the aggregate 34,066,689 shares due to his greater than 50% voting interest in Tether Holdings, S.A. de C.V.

Sentiment

Score: 6

Explanation: The sentiment is moderately positive. The increased stake by Tether entities suggests confidence in Bitdeer. However, the declining share prices during the recent acquisition period and the historical regulatory issues associated with the reporting entities temper the overall positive sentiment.

Positives

• The increased beneficial ownership by Tether entities, a prominent player in the cryptocurrency space, could signal a vote of confidence in Bitdeer Technologies Group's business and future prospects.
• The acquisition of additional shares, including through warrant exercise, demonstrates a continued commitment to the investment in Bitdeer.

Negatives

• Tether Investments' recent open market purchases of 3,999,900 shares occurred at declining prices, starting at $10.00 on February 26, 2025, and ending at $7.7602 on April 7, 2025, which may reflect a negative trend in Bitdeer's share price during the acquisition period.

Risks

• The document discloses past regulatory proceedings against Tether entities, including a $41 million civil monetary penalty from the U.S. Commodity Futures Trading Commission (CFTC) in October 2021 for alleged untrue or misleading statements regarding USDT backing.
• Tether and affiliated companies also settled with the Office of the Attorney General of the State of New York (NYAG) in February 2021, paying $18.5 million in penalties and agreeing to discontinue trading activity with New York persons or entities, which could indicate historical compliance issues that may affect the reputation of the reporting persons.

Future Outlook

The document does not contain explicit forward-looking statements or guidance regarding Bitdeer Technologies Group's future performance or strategic direction from the reporting persons. It primarily details changes in beneficial ownership.

Industry Context

This filing highlights a significant investment by a major entity from the cryptocurrency ecosystem (Tether, known for its stablecoin USDT) into a Bitcoin mining company (Bitdeer Technologies Group). This reflects a continued trend of vertical integration or strategic investment within the broader digital asset and blockchain industry, where stablecoin issuers or crypto-native firms are expanding their footprint into infrastructure and mining operations.

Legal Proceedings

• In October 2021, the U.S. Commodity Futures Trading Commission (CFTC) instituted and settled regulatory proceedings against Tether Holdings Limited, Tether Limited, Tether Operations Limited, and Tether International Limited, resulting in a $41 million civil monetary penalty for alleged untrue or misleading statements regarding USDT being fully backed by U.S. Dollars.
• In February 2021, the Office of the Attorney General of the State of New York (NYAG) entered into an agreement with Tether and several Bitfinex companies, settling a 2019 proceeding with an $18.5 million penalty and requiring discontinuation of trading activity with New York persons or entities, along with mandatory reporting.

Stakeholder Impact

• Shareholders: The increased stake by a prominent crypto entity like Tether could be viewed positively, potentially increasing investor confidence and liquidity. However, the declining purchase prices during the acquisition period might raise questions about the stock's recent performance.
• Management: The significant ownership by Tether entities may influence strategic decisions and corporate governance, aligning interests with a major industry player.

Key Dates

Keywords

Bitdeer Technologies Group, Tether Holdings, Tether International, Tether Investments, Giancarlo Devasini, SEC Schedule 13D, Beneficial Ownership, Class A Shares, Warrants, Bitcoin Mining, Cryptocurrency, Institutional Investment, Share Acquisition