Key Takeaways:
- Tether posted a $1 billion profit in Q1 2025 and holds a $5.6 billion reserve surplus, down from $7.1 billion in Q4 2024.
- Total exposure to U.S. Treasurys nears $120 billion, with $98.5 billion in T-bills and $23 billion in repo agreements.
- Tether’s USDt market cap hit $149 billion, with $7 billion growth in Q1 and strategic investments in AI, energy, and data sectors.
Tether reported over $1 billion in operating profit for Q1 2025 and maintains a $5.6 billion reserve surplus, down from $7.1 billion in Q4 2024.
Its total exposure to U.S. Treasurys now nears $120 billion, including $98.5 billion in direct Treasury bills and over $23 billion in repurchase agreements and other cash-equivalent assets.
Tether Approaching $120B in U.S. Treasuries, Confirms Quarterly Operating Profit Over $1B, and Strengthens Global USD₮ Demand in Q1 2025
— Tether (@Tether_to) May 1, 2025
Read more: https://t.co/U43RJ6bWWC
As of May 1, Tether’s USDt stablecoin reached a market capitalization of $149 billion, with $7 billion in growth and 46 million new user wallets added in Q1.
The company has invested over $2 billion of its excess capital in sectors like renewable energy, AI, peer-to-peer communication, and data infrastructure.
Despite Tether’s dominance, European regulators are raising concerns about overreliance on dollar-backed assets, warning of potential systemic risks.
USDt and USDC together represent 87% of the stablecoin market.
U.S. Treasury forecasts suggest the total market cap of dollar-backed stablecoins could rise to $2 trillion by 2028.
Tether’s continued growth and investment strategy reflect its push for long-term stability and technological innovation in the evolving stablecoin ecosystem.