Cryptocurrency firm Tether has set its sights on artificial intelligence

Cryptocurrency firm Tether is venturing into the realm of artificial intelligence (AI) with a new project that emphasizes open-source design, self-custody, and peer-to-peer payments.

Announced on May 5, the company’s upcoming Tether AI platform aims to allow users to make direct transactions in Bitcoin and USDt, the firm’s stablecoin.

Tether AI will also feature a decentralized approach to AI-driven financial tools, in contrast to the centralized models offered by major cloud providers.

Tether’s crypto payment function will be integrated into its open-source wallet development kit (WDK), which was launched in November 2024. The toolkit enables developers to build self-custodial wallets for mobile, web, and desktop platforms.

These wallets will give users full control over their crypto assets without the need for third-party custodians.

Tether Structures AI Platform for Maximum Decentralization

In a departure from conventional cloud-based AI models, Tether AI will operate without central control points or API keys.

According to Teher CEO Paolo Ardoino, the platform will be a “fully open-source AI runtime” functioning on an “unstoppable peer-to-peer network.” It will also be designed for maximum flexibility and will be able to run on virtually any device or hardware configuration.

This architecture aims to eliminate single points of failure and aligns with Tether’s broader decentralization strategy. Ardoino added that the system's modular and composable nature will allow it to evolve and adapt across a range of platforms.

“We envision a future where individuals and organizations can seamlessly interact with AI in a trustless and permissionless manner. Our goal is to empower users with direct access to crypto-enabled AI tools without the need for intermediaries,” stated Ardoino.

Tether’s move into AI is part of a larger shift in the firm’s strategy. In early 2024, the company restructured to launch multiple new business units, including Tether Data, a division focused specifically on artificial intelligence and peer-to-peer technologies.

Ardoino previously disclosed that the company is working on a suite of AI tools, such as AI Translate, a voice assistant, and an AI-powered Bitcoin wallet assistant. Tether AI is designed to act as the foundational platform for these apps, blending AI utility with cryptocurrency capabilities.