Tether, the prominent stablecoin issuer, is venturing into the realm of artificial intelligence with its announcement of Tether AI, an open-source AI platform designed to operate on a decentralized, peer-to-peer network.
This innovative platform will integrate payment functionalities in leading cryptocurrencies, including USDt and Bitcoin.
Tether Launches AI Initiative with Decentralized, Cryptocurrency-Enabled Platform
Paolo Ardoino, CEO of Tether, revealed details about the Tether AI project on May 5 via a post on X. The platform is structured to seamlessly incorporate direct transactions in USDT and Bitcoin. Tether AI is characterized as a modular and composable AI runtime, capable of functioning on a diverse array of hardware and devices.
https://t.co/qQkox6AfNg coming soon pic.twitter.com/1FZonsW5nq
— Paolo Ardoino (@paoloardoino) May 5, 2025
According to Ardoino, Tether AI will not depend on centralized servers or require API keys, which distinguishes it from conventional cloud-based AI services. Instead, it aims to operate through a distributed network, mitigating risks associated with a single point of failure.
At the heart of this platform lies what Tether terms “Personal Infinite Intelligence,” a framework suggesting the presence of personalized AI agents tailored to user requirements and hardware capabilities. This decentralized architecture is intended to empower developers and users with increased autonomy, privacy, and security.
The platform will facilitate native cryptocurrency transactions, with payments in USDT and Bitcoin directly processed on the peer-to-peer network. Ardoino also confirmed that Tether AI will be “infused” with cryptographic tools, including Tether’s open-source wallet development kit (WDK).
Released in November 2024, WDK enables developers to create mobile, desktop, and web wallets for managing self-custodial assets.
Tether has emphasized that users will maintain complete control over their funds, bypassing reliance on centralized intermediaries. This initiative aligns with their overarching goal of delivering AI tools that are both open and sovereign, reinforced by cryptocurrency infrastructure.
Ardoino stated, “The AI industry today is heavily reliant on centralized APIs and cloud platforms.”
“Tether.ai will change that by offering a fully open-source AI runtime that works anywhere and doesn’t require any centralized access,” he added.
While Tether.ai has yet to launch, visitors to the domain are currently redirected to Tether Data, indicating potential integration with Tether’s existing peer-to-peer technologies, such as Keet, a decentralized chat service, and Pear, a framework for developing P2P applications.
The platform was initially announced in December 2024, with plans for a launch by the end of Q1 2025. Although it is still in development, recent updates suggest significant progress, positioning Tether to enter the burgeoning sector of decentralized AI with embedded cryptocurrency features.
Tether AI Advances Amid Corporate Restructuring and $1 Billion Profit
The launch of Tether’s open-source AI platform marks a significant development in its strategic shift towards artificial intelligence, which was part of a broader corporate reorganization announced in April 2024.
This restructuring led to the establishment of new business units aimed at developing AI tools and enhancing peer-to-peer technology, including Tether Data.
CEO Ardoino has consistently hinted at the company’s aspirations in AI, revealing in February that Tether’s AI division is working on various applications, including a translation tool, a voice assistant, and a Bitcoin wallet assistant. Each of these tools will utilize internal AI models.
Tether Data, preview of some of the AI apps we're developing: AI translate, AI voice assistant, AI bitcoin wallet assistant.
Tether will launch soon its own AI SDK platform, open-source, built upon Bare (Holepunch's javascript runtime), working on every hardware, from embedded… pic.twitter.com/W5JFmoVcnh
— Paolo Ardoino (@paoloardoino) February 4, 2025
Ardoino stated that this initiative is founded upon an “ideal technological foundation” aligned with the vision of science fiction author Isaac Asimov, asserting that AI will increasingly integrate into the fabric of daily life in the decades to come.
This expansion follows Tether’s announcement of a substantial operating profit of $1 billion in Q1 2025, driven by robust yields from its U.S. Treasury investments.
With total assets of $149.3 billion and excess reserves totaling $5.6 billion, Tether continues to assert its dominance in the stablecoin sector while positioning itself in the rapidly evolving landscape of AI infrastructure.
The post Tether Unveils Open-Source AI Project With Built-In USDT and Bitcoin Payment Integration appeared first on Finance Newso.
