Tether hits $7.7 billion in profit YTD as reserves reach record high

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Tether hits $7.7 billion in profit YTD as reserves reach record high Gino Matos · 6 seconds ago · 1 min read

The company added nearly $5 billion in US treasuries and 7,100 Bitcoin to its assets.

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Updated: Oct. 31, 2024 at 9:42 pm UTC

Tether hits $7.7 billion in profit YTD as reserves reach record high

Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.

Tether Limited reported $2.5 billion in net profit for the third quarter, bringing its year-to-date profits to a record-breaking $7.7 billion.

The firm’s strong third-quarter numbers were primarily boosted by its gold holdings, which amount to roughly $5 billion, recording $1.1 billion in unrealized profit.

According to Tether’s latest assurance opinion, conducted by accounting firm BDO, the firm has raised its excess reserve buffer to over $6 billion, reflecting a 15% growth rate in the past nine months.

As a result, the firm’s total equity is at an all-time high of $14.2 billion, consolidating its assets at $134.4 billion. Tether CEO Paolo Ardoino stated:

“By increasing our reserve buffer to over $6 billion and maintaining a focus on strategic investments, Tether is once again setting the standard for stability in the financial space.”

US treasuries and Bitcoin

Moreover, Tether’s issuing companies now hold over $105 billion in cash and cash equivalents, including a record $102.5 billion in US Treasuries.

This amount places the crypto firm among the top 18 global holders of US Treasuries — above Germany, Australia, and the UAE — and is nearly $5 billion larger than Tether’s last attestation report.

Additionally, the company added 7,100 Bitcoin (BTC) to its stash, currently valued at nearly $4.8 billion.

The firm’s stablecoin, Tether USD (USDT), surged to a circulation of nearly $120 billion, marking a 30% increase year-to-date. This is a new all-time high in USDT supply and translates to an additional $27.8 billion in issuance.

Ardoino added:

“Reaching the $120 billion USD₮ milestone and reporting $102.5 billion in U.S. Treasury exposure highlights the company’s unparalleled financial strength.”

Beyond its reserves, Tether’s investment arm has expanded its proprietary portfolio to $7.7 billion, channeling funds into renewable energy, Bitcoin mining, artificial intelligence, telecommunications, and education sectors.