In 2024, the world’s largest stablecoin issuer, Tether, claimed a record net income of $13 billion. This also serves to fuel increased demand for more reliable, asset-backed digital currencies. Apart from this, Tether strengthened its position in the industry with regard to financial institutions by taking an all-time record in US government bonds.
Tether’s Financial Growth and Record Profits
Tether reported a record profit of $13 billion in 2024. This stemmed from the greatly increased demand for its stablecoin, USDT. The company’s total reserves neared $143 billion by December and had a market capitalization of around $137 billion. Such figures, audited by independent accounting firm BDO, indicate that Tether is sound financially.
Tether’s Soaring U.S. Treasury Reserves.
Tether’s portfolio contains the largest asset as of 2024, an aggregate amount that exceeds $113 billion in US government bonds. Tether possesses more US Treasury bonds than 17 governments in the world’s top economies: Australia, Germany, and the United Arab Emirates among them.
The promise that USDT claims about all the issued tokens being 1:1 backed by marketable assets valued in US dollars is supported by this significant investment.
Other Investments
Tether has also invested in Bitcoin and gold. The two assets earned the company an extra $5 billion profit in 2024. This heterogeneous portfolio, more than anything else, keeps the USDT steady and boosts the revenues of Tether.
Issuance and Market Growth
In 2024, Tether issued a total of $45 billion in USDT. $23 billion of that was printed in the last quarter.The uninterrupted printing and burning of USDT are indicative of its high demand in the crypto market, on which traders and investors rely on stablecoins to ensure liquidity and trading and even cross-border transaction.
Tether’s record-breaking $13 billion profit, massive U.S.Some of the reasons that make Tether a leader in the stablecoin market are treasury holdings, and diversified investments. They continue to grow even in the midst of competition from their close competitors such as Circle’s USDC, thereby reinforcing trust in the financial backings.
As stablecoins are gaining popularity, the role of Tether in the global financial sector will expand even more. What is your position-from an investor to trader or only interested in this crypto space-following Tether’s performance would be important to you.
