Tether Relocates Headquarters to El Salvador After Securing Digital Asset Service Provider License
Tether Relocates Headquarters to El Salvador After Securing Digital Asset Service Provider License
Decentralized Dog
2 min read
Tether, the company behind the USDT stablecoin, has announced that it will move its headquarters and subsidiaries from the British Virgin Islands to El Salvador after securing a Digital Asset Service Provider (DASP) license. Tether CEO Paolo Ardoino and COO Claudia Lagorio had previously acquired real estate and become naturalized citizens of El Salvador in 2024. The company’s relocation is due to the country’s favorable regulatory environment, its growing Bitcoin-savvy community, and its forward-thinking policies. Tether plans to build its new home in El Salvador, aiming to strengthen its focus on emerging markets and further its efforts in financial inclusion and decentralized technologies.
El Salvador made Bitcoin legal tender in 2021 under President Nayib Bukele, marking a significant milestone in the country’s efforts to embrace digital currencies. The country has since been making strides to attract cryptocurrency and technology businesses. Tether’s decision to relocate follows in the footsteps of other crypto-related companies, such as Bitfinex, which also moved its operations to El Salvador. Tether’s market cap stands at $137 billion, making USDT the most-traded stablecoin in the world. The company’s move to El Salvador aims to expand its operations and support financial inclusion globally.
In addition to its favorable regulatory environment, El Salvador’s Bitcoin adoption efforts have been seen as a draw for businesses. Tether’s relocation also reflects the growing presence of crypto entrepreneurs and tech talent in the country. Tether has previously announced its support for El Salvador’s renewable energy initiatives, including geothermal energy projects, which further ties the company to the country’s digital asset ambitions.
However, despite these positive developments, El Salvador’s government has faced criticism regarding human rights issues. While crime rates have dropped under Bukele’s leadership, the administration has been accused of detaining individuals critical of the government. Nevertheless, Bukele’s administration has continued to champion Bitcoin adoption, with the country’s Bitcoin holdings surpassing 6,000 BTC as of December 2024, valued at over $550 million at the time.
Tether’s relocation to El Salvador signals the increasing role of cryptocurrency in the country’s economic future. As a key player in the stablecoin market, Tether’s move highlights the growing importance of Bitcoin and other digital assets in shaping the region’s financial landscape. With its presence in El Salvador, Tether is reinforcing its commitment to promoting decentralized finance while aligning with a nation that shares its vision of financial innovation.
The proliferation of artificial intelligence (AI) over the past few years has had a profound impact on companies at the forefront of the technology. In fact, nine of the 10 most valuable companies, when measured by market cap, have unequivocal ties to AI. This helps to illustrate how this groundbreaking technology has caused a paradigm shift in the tech landscape. That said, just four companies have climbed the ranks to achieve market caps of $3 trillion or more.
AI chipmaker Nvidia has ridden the wave of AI adoption to a $4.9 trillion valuation. iPhone maker Apple and enterprise software and cloud specialist Microsoft recently swapped positions, with market caps of $4 trillion and $3.8 trillion, respectively. Rounding out the top four is search giant and cloud provider Alphabet, currently valued at $3.4 trillion.
With a market cap of roughly $1.7 trillion (as of this writing), it might seem a bit early to declare that Broadcom(NASDAQ: AVGO) is destined to join this elite group, but it seems inevitable. Broadcom holds a critical place in the AI ecosystem, and its accelerating results suggest it could join the $3 trillion club sooner rather than later.
Image source: Getty Images.
You want chips with that?
Broadcom has seen its fortunes rise thanks to AI, but investors may be surprised by the diversity of its product portfolio. In addition to AI solutions, the company offers broadband and wired networking, data center solutions, enterprise security, mainframe software, and wireless and mobile communication products, among others. In fact, the company says "99% of all internet traffic crosses through some type of Broadcom technology."
That said, the ongoing adoption of AI is at the heart of Broadcom's current opportunity, as most AI models and systems run in data centers, which are the company's stock in trade.
Broadcom's recent financial results show that AI is driving strong growth. In the third quarter, it generated record revenue of $15.9 billion, which accelerated 22% year over year, driving adjusted earnings per share (EPS) to $1.69, an increase of 36%. CEO Hock Tam cited "better-than-expected strength in AI semiconductors," which surged 63% to $5.2 billion, accounting for one-third of Broadcom's total revenue. Furthermore, the company expects AI-related revenue to grow in excess of 60% heading into 2026.
Broadcom estimates its AI opportunity at between $60 billion and $90 billion in 2027 alone for its three current hyperscale customers. The company generated AI revenue of $12.2 billion in fiscal 2024, suggesting the segment will generate growth of between 391% and 638% over a three-year period. Broadcom recently added OpenAI to its customer list, boosting that opportunity even further. Indeed, the company stunned investors when it announced it had added $10 billion to its backlog, bringing the total to a record $110 billion.
The road to $3 trillion
Broadcom's critical role in the technology landscape and the company's 30-year track record of supplying data center infrastructure help explain why it will continue to profit from the adoption of AI.
According to Wall Street estimates, Broadcom is expected to generate revenue of $63.3 billion in 2025, giving it a forward price-to-sales (P/S) ratio of roughly 27. If the stock's P/S remains constant, Broadcom will need to generate revenue of roughly $111 billion annually to support a $3 trillion market cap.
Wall Street's expectations are bullish, guiding for revenue growth of 28% annually over the coming five years. If the company hits those targets, it could achieve a $3 trillion market cap as early as 2028. However, Broadcom's growth continues to accelerate, and the addition of a new hyperscale customer (and another, as yet unnamed) suggests the company will reach that benchmark even sooner.
The AI boom has only just begun, and Broadcom is a crucial player in the space. Estimates suggest the generative AI market could be worth between $2.6 trillion and $4.4 trillion annually over the next decade, according to global management consulting firm McKinsey & Company.
There's no denying that Broadcom has been a key beneficiary of the AI revolution, but its soaring stock price has fueled a commensurate increase in its valuation. That said, the stock isn't as expensive as it may appear at first glance.
Broadcom is currently selling for 30 times next year's expected earnings. While that's certainly a premium, consider this: Broadcom has surged 2,820% over the past 10 years, compared to gains of just 225% for the S&P 500. This helps illustrate why the stock is deserving of its premium valuation.
Should you buy stock in Broadcom right now?
Before you buy stock in Broadcom, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Broadcom wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $595,194!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,153,334!*
Now, it’s worth noting Stock Advisor’s total average return is 1,036% — a market-crushing outperformance compared to 191% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Danny Vena has positions in Alphabet, Apple, Broadcom, Microsoft, and Nvidia. The Motley Fool has positions in and recommends Alphabet, Apple, Microsoft, and Nvidia. The Motley Fool recommends Broadcom and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.
Nvidia, AMD, and Broadcom are the most talked-about companies in AI. JPMorgan still believes investors don't grasp how much these three enterprises are worth, even after many big mergers, Wall Street upgrades, and values in the trillions of dollars.
On a new note, analyst Harlan Sur says that the AI revenue potential for these three chip titans is far higher than current estimates, even if targets are going up, thanks to these companies' substantial progress.
“Simply put, though out-year Street numbers for AVGO, NVDA and AMD have moved sharply higher over the past couple of weeks, there is still understandably some conservatism being baked into estimates,” Sur wrote.
We anticipate a period of sustained positive revisions to AI revenue estimates as visibility improves and additional capacity deals are announced.
JPMorgan thinks visibility will emerge when tech companies build next-gen data centers driven by GPUs and XPUs, which are the gear that all three businesses need.
They recently struck big agreements with OpenAI and other top AI companies. This is what Sur calls "a growing AI pie," and it may bring Nvidia's earnings up to $35 billion per gigawatt, with Broadcom and AMD not far behind.
Image source: Edelson/Getty Images
Nvidia, AMD, and Broadcom are key players fueling the AI data center boom.
Why Wall Street might be behind the curve
AI has already changed what people expect from Nvidia, AMD, and Broadcom. But JPMorgan sees something more fundamental happening: an AI hardware supercycle that even recent upgrades from analysts haven't completely taken into account.
Power is at the center of everything. In particular, the wattage and cost of next-generation data centers. JPMorgan says that each gigawatt of AI computation, which is around the same amount of electricity required to operate these facilities, brings in tens of billions of dollars for the chipmakers who create them.
Nvidia: Could generate $35B–$40B per gigawatt, especially with the upcoming Rubin and Rubin Ultra platforms.
AMD: New Helios platform expected to hit $20B per gigawatt; OpenAI deal alone could approach $30B+ in annual revenue.
Broadcom: Estimated at ~$27B per gigawatt with XPUs; full deployment from OpenAI could mean $70B–$90B over three years.
JPMorgan says that "some conservatism being baked into estimates," even if those numbers are high. This is partially because there are still worries about getting the money and building the infrastructure.
The company thinks that AI revenue predictions will go up again shortly, however, as deal visibility improves and additional capacity is presumably on the way.
What it means for investors
JPMorgan's call isn't only good news for Nvidia, AMD, and Broadcom shareholders; it's also bad news. If the company's revenue calculation is right, conventional value models may not be in line with reality.
For example, Wall Street has already priced in Nvidia's supremacy throughout the Blackwell era. The Rubin Ultra platform, which is projected to be released by 2026, might bring in $70,000 to $80,000 per chip, which is about three times as much as Blackwell's income per die.
The same thing happened with AMD's OpenAI agreement. The Street thinks that data center GPU sales will be approximately $31 billion in 2027, while JPMorgan thinks that the OpenAI alliance might bring in $30 to $35 billion a year on its own. That means AMD could already have enough orders to outperform projections, not including other customers.
Broadcom could be the greatest shock of all. The company thinks that Broadcom's AI revenue might reach $100 billion by 2027, up from just $21 billion in 2025 and 50–70% more than the average estimate.
JPMorgan isn't providing official price targets here. The message is clear, though: the next step for AI is hardware-driven and power-limited, and these three names remain at its core.
The next leg of the AI rally?
If JPMorgan is accurate, and the AI gold rush is just in its second inning, then Nvidia, AMD, and Broadcom may all be sitting on underestimated growth curves.
That doesn't mean there aren't any hazards. Execution, infrastructure problems, and changing regulatory winds may all slow down growth.
But with tech companies pouring billions on bespoke silicon and new data center designs, chipmakers that are connected to AI acceleration seem to be in a good position — maybe even underrated.
In the past week, Autoliv, Inc. reported record third quarter earnings with sales reaching US$2.71 billion, driven by strong growth in the Americas, Europe, and China, while confirming its full-year guidance and highlighting advanced safety technology partnerships, including a collaboration with Adient and a strategic agreement with CATARC in China.
An interesting development is the mass production of jointly developed occupant protection solutions for zero-gravity automotive seating, reflecting Autoliv's ability to address emerging industry safety challenges and respond to evolving consumer demand for innovative features in both high-end and mass-market vehicles.
We'll explore how Autoliv's record quarterly results and expansion of advanced occupant safety technology could influence its evolving investment narrative.
Owning shares of Autoliv means buying into the belief that global demand for advanced vehicle safety solutions will keep expanding despite cyclical headwinds and cost pressures. The company's record third-quarter earnings and continued strength across key geographic regions support optimism for sustained margin improvement in the short term, while confirmation of its full-year guidance suggests the recent news has not materially changed the most important near-term catalyst, outperformance in China and operational efficiency. However, risks from slowing global light vehicle production growth remain a key concern for revenue momentum.
Among recent developments, Autoliv’s collaboration with Adient on the Z-Guard safety system for zero-gravity seating stands out. This product launch, now moving into mass production, directly addresses regulatory and consumer trends toward enhanced safety, supporting Autoliv’s efforts to differentiate in higher-growth market segments, an essential offset to the cyclical and pricing pressures that remain visible in the industry.
But investors should also be aware that, even with record results, shifting light vehicle production volumes could challenge expectations if...
Autoliv's outlook anticipates $11.8 billion in revenue and $896.4 million in earnings by 2028. This scenario assumes a 4.2% annual revenue growth rate and a $181.4 million earnings increase from the current $715.0 million.
Simply Wall St Community members have placed fair value estimates for Autoliv between US$126.97 and US$135.21, reflecting three individual views. While some see upside from growing vehicle safety content, others caution that global auto production trends may impact future returns, be sure to compare these diverse perspectives for a fuller picture.
Our free Autoliv research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Autoliv's overall financial health at a glance.
No Opportunity In Autoliv?
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Astera Labs recently announced a collaboration with Arm Total Design to integrate its Intelligent Connectivity Platform with Arm Neoverse Compute Subsystems, aiming to streamline custom AI infrastructure chiplet solutions for clients seeking multi-protocol connectivity.
This move highlights Arm Holdings’ expanding influence across the AI hardware supply chain, signaling growing adoption of its technologies in custom architectures beyond traditional markets.
We’ll explore how Arm’s new partnerships in AI data center hardware may impact the company’s long-term investment case and market positioning.
To be a shareholder in Arm Holdings, you need conviction that Arm’s ongoing expansion into AI infrastructure and custom chip solutions can successfully offset potential saturation in its core smartphone markets. The recent Astera Labs collaboration strengthens Arm’s industry partnerships but does not materially change the near-term focus on ramping AI data center design wins as the main catalyst, nor does it resolve the execution risks tied to diversification and rising R&D expenses.
Among recent announcements, the partnership with Astera Labs is the most relevant because it boosts Arm’s ability to embed its Neoverse Compute Subsystems in next-generation AI hardware. This underscores Arm’s growing footprint in custom architectures, directly tying into the current catalyst of gaining AI data center share, even as execution risk, particularly in new, complex verticals, remains front of mind for investors.
Yet, it’s worth contrasting that expanded opportunity with the ongoing risk that major customers could...
Arm Holdings' narrative projects $7.4 billion revenue and $2.3 billion earnings by 2028. This requires 21.5% yearly revenue growth and a $1.6 billion earnings increase from $699 million currently.
Compared to the consensus, the most optimistic analysts see Arm's data center share soaring and forecast US$8.6 billion in revenues by 2028. They expect Arm’s industry partnerships and AI momentum could drive revenue and margin acceleration, though emerging competition and rising R&D costs suggest these bullish assumptions might face more volatility. As you weigh your own view, keep in mind just how wide the range of possible futures for Arm could be.
Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.
A great starting point for your Arm Holdings research is our analysis highlighting 2 key rewards that could impact your investment decision.
Our free Arm Holdings research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Arm Holdings' overall financial health at a glance.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Willis Towers Watson recently launched Radar 5, an advanced upgrade to its insurance analytics software featuring generative AI-powered tools and enhanced SaaS cloud capabilities for pricing, portfolio management, claims, and underwriting.
This release marks a significant step in integrating generative AI and real-time analytics to support smarter, faster, and more personalized decision-making across the global insurance industry.
We'll explore how Radar 5's generative AI analytics could impact Willis Towers Watson's outlook and long-term investment narrative.
To be a shareholder in Willis Towers Watson, you need to believe that growing demand for advanced analytics and consulting, especially in insurance, will support sustainable revenue growth and expanding margins despite a competitive marketplace. The launch of Radar 5 demonstrates WTW’s continued commitment to innovation, yet its impact on the company’s biggest short-term catalyst, differentiation from global peers, remains to be seen. The primary risk of price and fee pressure from increased digital adoption is unchanged by this news.
Among the latest announcements, the October partnership with SecurityScorecard to boost cyber risk quantification stands out as highly relevant, aligning with Radar 5’s focus on integrating advanced technology for smarter decision-making. Moves like this further WTW’s aims to grow specialized advisory services, enhancing catalysts around revenue diversity and resilience as digital trends reshape the insurance sector.
However, investors should also be aware that rising regulatory complexity and cybersecurity threats remain a potential headwind for margins if...
Willis Towers Watson's narrative projects $10.9 billion revenue and $2.5 billion earnings by 2028. This requires 3.7% yearly revenue growth and an increase in earnings of about $2.36 billion from $137.0 million today.
Two Simply Wall St Community members estimated fair values for WTW from US$374.44 to US$383.32 per share, reflecting a narrow yet distinctly different outlook. While many are focused on technological catalysts, staying alert to growing price and margin pressures amid digital automation could influence your view on long-term performance.
Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.
A great starting point for your Willis Towers Watson research is our analysis highlighting 2 key rewards and 3 important warning signs that could impact your investment decision.
Our free Willis Towers Watson research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Willis Towers Watson's overall financial health at a glance.
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Right now could be the best entry point. These picks are fresh from our daily scans. Don't delay:
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
On Sept. 17, Congressman Cleo Fields bought Broadcom Inc (NASDAQ:AVGO) shares worth between $15,001 – $50,000. The semiconductor giant’s shares are up about 7% since then. According to disclosures made in October, US Representatives Ro Khanna and Michael T. McCaul also bought stakes in Broadcom Inc (NASDAQ:AVGO). The stock has gained 10% since these transactions.
“In early August we initiated positions in both NVIDIA and Broadcom Inc. (NASDAQ:AVGO), after having not owned either company over the past 2½ years following the initial wave of enthusiasm around Gen AI. While we have long admired both companies, their highly cyclical business models have made it extremely difficult to forecast future earnings growth with any degree of conviction. Given our approach of seeking durable and persistent earnings growth that compounds over long holding periods, our concern in holding either was that we would be forced to endure a punishing downcycle within our typical holding period – there is very little room that in a concentrated portfolio of 20-30 companies. In fact, pre ChatGPT, NVIDIA had two punishing down cycles over the preceding five years.
While we acknowledge the potential of AVGO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.
The technology sector has been the driving force behind much of the S&P 500's (SNPINDEX: ^GSPC) strong returns over the past several years, thanks mostly to artificial intelligence (AI) stocks. Tech companies of all shapes and sizes are betting that AI will transform their businesses and the services they offer, but not all of them will benefit equally.
Here are three technology stocks likely to experience the biggest benefits over the next few years, thanks to their lead in their respective markets.
1. Broadcom
Broadcom (NASDAQ: AVGO) is an important semiconductor company in the AI space, but it recently received a spike in interest among investors after the company announced a new partnership with ChatGPT creator OpenAI.
The multiyear deal will result in the two companies codeveloping AI accelerators, with OpenAI designing the chips and Broadcom deploying AI server racks and networking systems. The goal is for 10 gigawatts worth of the accelerators to be implemented by 2029.
The deal could be worth up to multiple billions of dollars, according to The Wall Street Journal, and it comes at a time when the company is already firing on all cylinders. Broadcom's management said recently that its AI revenue will reach up to $90 billion annually by 2027, representing a 650% jump from 2024.
2. Nvidia
Even with competition amid AI chip designers on the rise, Nvidia(NASDAQ: NVDA) still dominates the market and will likely continue to do so for years. At least 70% of artificial intelligence data centers use the company's GPUs, and that's led to massive sales and earnings growth for the company.
For example, revenue was up by 56% in Q2 to $46.7 billion, and (adjusted) non-GAAP (generally accepted accounting principles) earnings rose by 54% to $1.05. It would seem logical to be a little skeptical that Nvidia could continue to benefit so much from AI, but that would require AI data center spending to plummet, which it's not at risk of doing right now. Nvidia's management estimates AI data center spending could go as high as $4 trillion over the next five years.
3. Taiwan Semiconductor
Last, but certainly not least, is Taiwan Semiconductor Manufacturing (NYSE: TSM), also known as TSMC. The artificial intelligence boom over the past few years could not have happened without TSMC's advanced manufacturing. And as AI chip demand rises, TSMC will continue to benefit.
That's because the company has an estimated 90% of the advanced chip manufacturing market, making the company the go-to choice for almost all artificial intelligence chip production. That's been a catalyst for the company's growth and its share price returns of 372% over the past three years.
There could be more good times ahead for Taiwan Semiconductor investors as well, considering that management says the company's AI revenue is on track to double this year.
Should you invest $1,000 in Broadcom right now?
Before you buy stock in Broadcom, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Broadcom wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $638,300!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,114,470!*
Now, it’s worth noting Stock Advisor’s total average return is 1,044% — a market-crushing outperformance compared to 188% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Chris Neiger has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Nvidia and Taiwan Semiconductor Manufacturing. The Motley Fool recommends Broadcom. The Motley Fool has a disclosure policy.
