- Main event: Tether’s €128 million Juventus stake.
- Tether lacks governance involvement.
- First major crypto investment in European football.
Tether has acquired a significant 10.7% stake in Juventus Football Club, amounting to €128 million, making it the club’s second-largest shareholder. Despite this investment, Tether is excluded from any governance role within the club.
Tether’s Strategic Investment
Tether acquired a 10.7% share in Juventus Football Club, emphasizing its intent to diversify investments beyond cryptocurrency. Despite this position, Tether remains excluded from club governance, as communications with the management have been sparse. Paolo Ardoino, CEO of Tether, remarked, “I had to buy my own match ticket to attend a Juventus game,” highlighting the company’s exclusion from governance despite its significant investment. Tether, led by CEO Paolo Ardoino, invested through Tether Investments, a subsidiary focused on strategic acquisitions. Juventus is primarily owned by Exor NV, holding 65.4% of the club, contrasted by Tether’s substantial yet less influential stake.
Financial and Regulatory Implications
The acquisition has not directly impacted Tether’s core operations or crypto markets, as the investment was funded via fiat-backed resources. The move, however, reflects Tether’s strategy to expand its influence and asset diversification across different sectors. Regulatory implications from this acquisition remain unclear, as no immediate responses from financial authorities like the SEC or CFTC have been reported. The investment is a landmark instance of a crypto company securing a major stake in a top-tier European football club.
Future Prospects and Challenges
Looking ahead, Tether’s investment emphasizes the evolving landscape of crypto firms engaging with non-digital sectors. It suggests potential future collaborations or tensions between these industries. While this marks a pioneering move, the limited governance access could deter similar investments from other crypto entities. Juventus fans and financial analysts will observe both the potential implications and the outcomes of this significant stake acquisition by a crypto-entity.
