Richard Heathcote, the former chief investment officer of Tether, is reportedly looking to sell part of his stake in the stablecoin issuer, according to a Bloomberg report citing people familiar with the matter. Heathcote holds 1.26% of Tether, and the planned transaction would involve only a portion of that ownership.
Tether, which issues USDt (USDT), remains privately held despite operating as one of crypto’s most profitable businesses. The reported partial sale is notable not only because of Heathcote’s senior role, but also because it would be among the few glimpses into ownership at a company that underpins a large share of the stablecoin market.
Key takeaways
- Bloomberg reports that former Tether CIO Richard Heathcote plans to sell part of his 1.26% stake, offering rare insight into Tether ownership.
- USDT remains the dominant stablecoin by market capitalization, with DefiLlama data placing its circulating supply around $184 billion (about 59% market share).
- The potential sale comes as Tether faces increased regulatory pressure in Europe, including platform delistings after Tether did not align with the EU’s MiCA framework.
- Broader IPO chatter continues in crypto, even as exchanges weigh listing paths amid regulatory and operational constraints.
Why Heathcote’s stake sale matters
Bloomberg’s report focuses on the planned sale by Richard Heathcote, who stepped away from the role of Tether’s chief investment officer in March. The report says he moved into an advisory capacity after overseeing the company’s investment portfolio.
For markets, transactions involving insiders in key stablecoin issuers are often watched closely—even when only partial. Tether’s scale means its ownership structure and governance are relevant to traders and institutions that rely on USDT’s liquidity. While the report does not specify deal size beyond the portion of the stake, it underscores that influential executives at stablecoin issuers are not necessarily bound to long-term illiquidity, despite the asset’s centrality to crypto settlement and exchange activity.
Heathcote’s stake also highlights the challenge of assessing control and incentives in privately held crypto firms. With Tether not publicly listed, investors and observers have fewer direct market signals about internal changes. A reported sale, even a partial one, can become a data point for how senior stakeholders view holding periods, risk, and governance in a fast-changing regulatory environment.
USDT’s market position remains central
Any ownership move at Tether inevitably ties back to USDT’s dominance. According to DefiLlama data, USDT has a circulating supply of roughly $184 billion and accounts for approximately 59% of the stablecoin market by market capitalization.
This matters because USDT is not just a retail token—it is deeply embedded in the infrastructure of exchanges, trading pairs, and on-chain activity. When large portions of market liquidity are concentrated in a single issuer, stakeholders tend to pay particular attention to credible updates on that issuer’s financial posture, governance, and regulatory standing.
At the same time, the reported sale is not automatically a signal about USDT’s strength or weakness. Stablecoins can remain widely used even as regulatory constraints limit where they are permitted. The more meaningful question for investors is whether Tether’s regulatory path and distribution access continue to affect demand for USDT in key jurisdictions.
Regulatory pressure in Europe intersects with business uncertainty
The Heathcote sale report arrives as Tether faces heightened scrutiny in Europe. Earlier coverage from Cointelegraph noted that USDT has been delisted by an increasing number of platforms operating under MiCA authorizations after Tether chose not to comply with the EU’s crypto framework.
That tension has been visible in operator decisions. Cointelegraph previously reported that Revolut would remove USDT from its platform, reflecting how regulatory alignment—or lack of it—can translate into immediate distribution losses for a stablecoin issuer.
For market participants, this creates a split reality: USDT may remain dominant by market size, but issuer exposure to regulation can change the on-ramps and availability that sustain that market share in Europe. In that context, insider ownership moves may be read less as a market bet on USDT itself and more as an adjustment to the broader uncertainty around compliance, platform access, and long-term growth channels.
IPO speculation continues elsewhere in crypto
While Tether’s executives have publicly indicated the company does not need to go public, crypto’s IPO debate appears to be broadening beyond stablecoins. Several other firms have reportedly explored listing routes.
Cointelegraph previously highlighted that Kraken has taken steps that could lead toward an IPO. Fortune reported in September 2025 that Kraken raised $500 million at a $15 billion valuation, fueling expectations that the exchange was positioning for a public listing. Kraken also announced it had confidentially filed a draft registration statement with the US Securities and Exchange Commission in November 2025 for a proposed initial public offering.
However, Bloomberg later reported that Kraken’s IPO timeline could slip into 2027 after layoffs tied to the company’s increasing use of artificial intelligence. The implication for readers is that even when a path to liquidity exists, operational restructuring and market conditions can delay capital-market milestones.
In South Korea, Cointelegraph reported that Bithumb delayed its IPO until after 2028. The exchange said it was working to strengthen accounting policies and internal controls after earlier regulatory setbacks, underscoring how compliance process—not only investor demand—can shape public-market timing for crypto firms.
Separately, Cointelegraph has also published coverage focusing on anonymity-related risks and how AI may be used to identify hidden identities in crypto activity, reflecting the broader environment in which regulators, exchanges, and compliance teams are operating.
What to watch next
For Tether, the next signals likely won’t come from ownership headlines alone. Investors should track whether additional European platforms follow through on delistings under MiCA and how Tether responds operationally and commercially in regions tightening stablecoin rules. Meanwhile, Bloomberg’s reported stake sale may prompt renewed attention to how insiders manage liquidity in privately held firms as crypto firms weigh—or postpone—public listings.
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