Rumble, a popular video-sharing platform, has secured a significant investment from stablecoin giant Tether in a deal worth $775 million. This strategic partnership aims to drive growth and establish Rumble as a leading digital content platform.
Tether Takes $775M Stake in Video-Sharing Platform Rumble
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New Partnership Puts RUM Shares on the Rise
Rumble, a popular video-sharing platform, has secured a significant investment from stablecoin giant Tether. The deal, worth $775 million, will support Rumble’s operations and fund a tender offer for up to 70 million shares of its common stock.
According to the agreement, Rumble will use $250 million of the funds to drive business growth, while the remaining amount will be allocated towards purchasing shares at a price of $7.50 per share. This investment reflects Tether’s confidence in Rumble’s potential for expansion and its commitment to supporting innovative digital platforms.
A Strategic Partnership Aims to Drive Growth
Tether CEO Paolo Ardoino emphasized the importance of this partnership, stating that “Legacy media has increasingly eroded trust, creating an opportunity for platforms like Rumble to offer a credible, uncensored alternative.” By joining forces with Tether, Rumble aims to establish itself as a leading video-sharing platform and capitalize on the growing demand for digital content.
Rumble CEO Chris Pavlovski expressed his enthusiasm for the partnership, saying “I truly believe Tumer is the perfect partner that can put a rocket pack on the back of Rumble as we prepare for our next phase of growth.” This strategic investment will enable Rumble to accelerate its development and expand its offerings in the digital landscape.
RUM Shares Surge After Hours
Following the announcement, RUM shares experienced a significant surge, increasing by 41% to $10.13 in after-hours trading. The partnership between Tether and Rumble has generated excitement among investors, who are optimistic about the platform’s future prospects.
While there is no confirmation on whether any of the proceeds will be used to add bitcoin (BTC) to Rumble’s balance sheet, this development marks a significant milestone for both companies as they embark on their next phase of growth.
