The Bitdeer share issuance raised $100 million in gross proceeds and could generate an additional $50 million. Tether is supporting bitcoin miner Bitdeer through a private placement deal that could total $150 million in proceeds.

Tether, the stablecoin issuer, purchased nearly 18.6 million Bitdeer shares and has the option to buy 5 million more at $10 per share. As of 10:30 am ET, Bitdeer's stock price was about $6.20, up 6.4% for the day.

Access to capital is crucial for miners, especially after the recent Bitcoin halving, which reduced per-block mining rewards from 6.25 BTC to 3.125 BTC. Bitdeer plans to use the proceeds for data center expansion and development of ASIC-based mining rigs, according to a company news release.

Singapore-based Bitdeer went public on Nasdaq in April 2023, with a self-mining hash rate of 6.7 exahash per second (EH/s) as of April 30. In March, the company announced it was testing a new bitcoin mining chip for its SEALMINER A1 machines, which it plans to install in data centers in Rockdale, TX, and Norway during the second half of the year as part of a 3.4 EH/s initial expansion.

Tether has funds to invest after achieving a record net profit of $4.52 billion in the first quarter. The company's investment in Bitdeer follows the launch of new business units beyond stablecoins, including Tether Power, a mining and energy division focused on sustainable bitcoin mining operations.

Bitdeer has also committed to sustainability, announcing plans last year for carbon-free crypto mining operations in Bhutan.

"Bitdeer’s proven track record and world-class management team align perfectly with Tether’s long-term strategic vision," Tether CEO Paolo Ardoino said in a Friday statement. "We anticipate close collaboration with Bitdeer across several key infrastructure areas moving forward."