Cantor Fitzgerald could make $25 billion if Tether’s $500 billion valuation goal is achieved

Source Cryptopolitan

Cantor Fitzgerald is chasing what could come to be the biggest crypto paydays in Wall Street history. According to Bloomberg, the New York investment bank could see its Tether stake explode to $25 billion if the stablecoin giant’s fundraising hits a $500 billion valuation.

The company bought a convertible bond worth over $600 million more than a year ago, giving it rights to 5% equity, but only if conversion and sale are allowed under final deal terms. The valuation, if achieved, would rank alongside Sam Altman’s OpenAI, putting Tether among the most valuable private companies in the world.

The deal sits at the center of Cantor’s ongoing pitch to investors. Pulling off a private round of this scale is hard enough, but this one’s under extreme scrutiny.

That potential $25 billion gain represents one of the most profitable balance‑sheet moves ever for a Wall Street firm, and it would mark another twist in the long connection between Howard Lutnick, Tether, and U.S. politics.

Lutnick family runs Cantor as Tether deal unfolds

When Cantor Fitzgerald LP founder Howard Lutnick joined President Donald Trump’s cabinet as Commerce Secretary earlier this year, his sons Brandon (27) and Kyle (29) were appointed to lead the company as chief executive and executive vice chairman.

Earlier this month, their 64‑year‑old Wall Street legend finished divesting his shares to meet federal ethics rules tied to his new role. That divestment now clears him to take part in matters linked to Cantor’s financial holdings.

Howard’s kids have wasted no time in strengthening ties with Tether. In fact, during a panel last week in Singapore, Brandon Lutnick appeared beside Paolo Ardoino, Tether’s CEO, describing months of collaboration in Switzerland and saying the company “really taught me everything I know.”

That appearance followed years of close cooperation, Tether remains Cantor’s most important client, with the bank handling much of its financing and balance management.

Even with that relationship, uncertainty clouds the deal. The valuation target and final structure are still moving pieces. It’s not yet known whether Cantor will be allowed to convert its bond into shares or offload any portion to new backers. Inside the firm, though, the upside has everyone watching: if the conversion clears, Cantor’s paper profit could multiply its regular annual revenue many times over.

Tether valuation could change crypto and Cantor’s fortunes forever

At half the target valuation, Cantor would still pocket tens of billions, a return unmatched by its usual business lines.

Last year, Cantor’s investment‑banking arm posted around $2 billion in net revenue, which should give you a sense of the success that could come from this.

Many of Cantor’s employees, from executives to junior partners, hold equity through a restricted partnership structure. A successful Tether raise would boost not just the company’s valuation but also the personal fortunes of its staff.

On the Tether side, company chairman Giancarlo Devasini, once a plastic surgeon, could see his wealth surge all the way to $224 billion if this $500 billion target materializes, which would make him the fifth richest person on earth.

Meanwhile, Tether’s USDT remain the most‑held stablecoin worldwide, pegged to the U.S. dollar and valued at $180.6 billion in circulation.

As Commerce Secretary, Howard Lutnick has championed crypto regulation and adoption. At a White House summit in March, he said, “We are going to use crypto to pound forward, and Donald Trump is leading the way.”

In July, the Trump administration followed through by rolling out a regulatory framework for stablecoins, a top demand from crypto leaders such as Tether’s executives.

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