Bitcoin News Today: Tether's $5.7M Stake Signals Confidence in Rumble's Crypto-Cloud Pivot

Rumble Inc.'s stock surged more than 13% on Monday after stablecoin giant Tether bolstered its stake in the video-sharing platform by purchasing 1.06 million shares for $5.7 million, signaling renewed confidence in the firm's strategic pivot toward cloud infrastructure and cryptocurrency integration. The transactions, disclosed in a Securities and Exchange Commission filing, occurred between November 19 and 21 at prices ranging from $5.38 to $5.46 per share, elevating Tether's ownership to 104.4 million shares, or roughly $680 million at current valuations according to filings.

The move followed Rumble's announcement of a revised acquisition of Northern Data AG, a German data center operator, which will expand its cloud portfolio with 22,000 Nvidia GPUs and a global network of data centers. Tether also agreed to purchase $150 million in GPUs from Rumble and invest up to $100 million in advertising to promote its crypto wallet. The partnership, unveiled earlier this month, aligns with Rumble's broader strategy to integrate blockchain technology, including a Bitcoin tipping feature for content creators, which was announced at the Plan B Forum in October according to market analysis.

Rumble's shares, which trade at $6.51, have faced volatility this year, dropping nearly 50% year-to-date despite a narrowed third-quarter net loss of $16.3 million. The company reported $24.8 million in revenue for the period, slightly below analyst estimates, but highlighted progress in optimizing operations ahead of the U.S. election cycle according to market data. Analysts noted that the rally in Rumble's stock mirrored broader gains in data center and high-performance computing stocks, with Cipher Mining and BitDeer also seeing double-digit jumps according to financial reporting.

The investment underscores Tether's growing influence in Rumble's corporate strategy. Giancarlo Devasini, who controls over 50% of Tether Holdings, is effectively the largest shareholder in Rumble through its subsidiary Tether Investments. The firm's prior $775 million investment in 2024-granting it over 103 million shares-had already positioned it as a key player in the company's trajectory according to insider reports.

Rumble's collaboration with Tether extends beyond financial backing. The two firms have jointly developed crypto tipping features, allowing users to tip creators with Bitcoin and Tether's USDT stablecoin. Rumble also maintains a Bitcoin reserve of 210.82 BTC, valued at $18.5 million as of Q3, further cementing its crypto credentials according to financial reporting.

The stock's recent performance contrasts with its early 2025 peak of $17.40, as the market digests Rumble's transition from a video platform to a hybrid cloud and crypto infrastructure provider. While analysts maintain a "Hold" rating, with an average price target of $14, the acquisition of Northern Data and Tether's ongoing support could catalyze renewed investor interest according to market analysis.