Tether is backing Tenstorrent's $1.5 billion raise, aimed at widening access to AI computing.

Tether, the company behind the world's most widely used stablecoin, has invested in AI chip developer Tenstorrent. The stated goal is to increase access to AI computing infrastructure.

The investment came through Tether Capital, the firm's investment branch. It was part of a much larger financing event.

**A $1.5 billion round at a $6.2 billion valuation**

On October 19, 2026, Tenstorrent announced it had completed a $1.5 billion Series E funding round. The deal set the company's post-money valuation at $6.2 billion.

The increase is steep. Tenstorrent's Series D in December 2024 valued the company at $2 billion, so the new figure more than doubles that valuation.

Trace Capital and Innovation X led the raise. Several other financial firms joined, including ARK Invest and Fidelity Management, with Tether Capital among the notable participants.

**What the money is for**

Tenstorrent plans to use the capital in three main ways: scaling production of its Galaxy servers, advancing its AI and CPU technology development, and expanding its commercial operations globally.

The Galaxy servers are the company's headline product. Each one packs dozens of Tenstorrent's AI chips into a single system.

Tenstorrent already counts major clients, including Samsung and LG, among its users.

**Why Tether is investing**

The investment fits a broader push at Tether toward decentralizing AI computing power. The aim is to reduce dependence on the handful of major cloud providers that currently control much of the world's AI capacity.

**What this means for the AI and crypto crossover**

The most direct reading is that Tether is becoming an active capital allocator in technology well beyond payments. A stake in a fast-growing AI hardware company is a bet on infrastructure, not on tokens.

Tenstorrent's investor base also reflects this mix. Long-standing asset managers such as Fidelity are joined by growth-focused investors such as ARK Invest, along with a crypto-native backer in Tether, giving the company a wide range of capital sources.

Key developments to watch include how quickly Tenstorrent scales Galaxy server output, whether new enterprise customers join Samsung and LG, and whether Tether Capital continues adding AI infrastructure companies to its portfolio.

*Disclosure: This article was edited by Diego Almada Lopez. For more information on how we create and review content, see our Editorial Policy.*