Tether Expands Into AI With New Decentralized Platform

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Tether, the issuer of the world’s largest stablecoin, is moving into artificial intelligence with the upcoming launch of Tether AI—an open-source platform designed to integrate crypto payments into decentralized AI systems. CEO Paolo Ardoino announced the initiative on May 5, highlighting plans to enable Bitcoin and USDT transactions directly within the AI runtime.

The system will use a peer-to-peer network rather than traditional cloud-based models, aligning with Tether’s strategy to decentralize both financial and technological infrastructure. Tether AI is built to function without centralized control points or API keys and aims to operate across any hardware or device.

A New Framework for Crypto-Enabled AI

Tether AI’s core architecture is a modular, composable AI runtime the company calls “Personal Infinite Intelligence.” It will integrate with Tether’s open-source Wallet Development Kit (WDK), released in November 2024, which allows developers to build self-custodial wallets for mobile, desktop, and web applications.

This self-custodial approach gives users full control over their funds without relying on third-party custodians. Payments in Bitcoin and USDT will be embedded directly into the AI platform, allowing software agents to complete transactions, execute smart contracts, or monetize AI services without intermediaries.

Decentralization and Peer-to-Peer Payments

By leveraging peer-to-peer infrastructure, Tether aims to remove single points of failure and enhance user privacy. The AI platform’s decentralized nature mirrors the company’s broader push to enable open, censorship-resistant systems. Ardoino emphasized that the goal is to create a reliable technological foundation for real-world autonomous agents powered by crypto.

In contrast to tech firms centralizing AI under cloud ecosystems, Tether is choosing a path that prioritizes user autonomy. Tether AI will run on what Ardoino describes as an “unstoppable peer-to-peer network,” eliminating the need for centralized APIs or server-based hosting.

Strategic Shift and Vision for the Future

Tether AI is part of a larger restructuring within Tether, which in early 2024 created new business divisions including Tether Data—a unit focused on AI and P2P technologies. Tether is also working on other AI tools such as AI Translate, a voice assistant, and an AI-enhanced Bitcoin wallet assistant, all of which are expected to build on the Tether AI platform.

Ardoino cited science fiction author Isaac Asimov’s vision of AI becoming “part of the very fabric of the universe” as a guiding philosophy. At the time of the announcement, USDT had a market cap of $240 billion, representing over 65% of the global stablecoin market—putting Tether in a strong position to drive adoption of crypto-integrated AI solutions.