Tether, the crypto company behind the most popular USDT stablecoin has invested $50 million in sleep technology startup Eight Sleep at a valuation of $1.5 billion, according to a Wednesday press release and data from Crunchbase.
With this funding, Eight Sleep plans to develop new AI health capabilities using Tether’s QVAC architecture, a computing framework designed to process data at the device level rather than relying entirely on cloud systems.
Eight Sleep builds sleep systems equipped with sensors that track biometric data such as heart rate and temperature during the night. Its flagship product “Pod” adjusts mattress temperature and generates sleep information based on real-time physiological data.
“We believe advanced personalized AI is the ideal path to understanding and developing human potential,” Paolo Ardoino, CEO of Tether, said in a statement.
This investment is the latest example of Tether moving beyond stablecoins and crypto infrastructure. The company is best known for its $183 billion USDT stablecoin, which is popular as a savings and payment tool in emerging markets with limited access to the U.S. dollar. Tether reported more than $10 billion in net profits through 2025 and has increasingly channeled those profits into venture capital investments in energy, payments, artificial intelligence and health technology.
The deal follows Tether’s recent launch of QVAC Health, a platform that aggregates personal health data from wearable devices and other sources while keeping the information encrypted and under the user’s control.
