Tether Posts $10B Profit as U.S. Treasury Holdings Hit Record $141B

The world’s largest stablecoin Tether posted more than $10 billion in net profits in 2025, signaling strong growth despite a 23% drop from the previous year. The stablecoin issuer’s U.S. Treasury holdings hit record highs, reflecting a strategic shift toward low-risk, liquid assets. 

According to a report by BDO, an accounting firm, Tether is in a good financial condition and continues to dominate the global digital dollar market. The company’s CEO, Paolo Ardoino, noted that the company’s careful management of its reserves and smart investment decisions had been key to its success.

In 2025, Tether created nearly $50 billion worth of new USDT, the second-highest amount it has ever issued in a year. Most of this growth happened in the second half, when $30 billion was added due to rising demand for dollars in emerging markets, digital payments, and crypto trading. 

As a result, the total USDT in circulation went over $186 billion, a record high. Meanwhile, Tether’s total reserves grew to almost $193 billion, staying well above what it owes—a position few companies can claim.

Record treasury exposure

Tether’s exposure to U.S. Treasuries reached unprecedented levels in 2025. The direct exposure of Tether to Treasuries surpassed $122 billion, whereas its total direct and indirect exposure to Treasuries reached $141.6 billion, including overnight reverse repurchase agreements.

This makes Tether one of the largest private holders of U.S. government debt and shows its involvement in global dollar markets. The company focuses on maintaining safety, liquidity, and careful management as USDT is used for trading, payments, and international transfers. 

Tether also holds significant amounts of gold and Bitcoin, with $17.4 billion in gold and $8.4 billion in Bitcoin. It has been buying up to two tons of physical gold each week, totaling over $1 billion in purchases per month.

Ardoino noted, “It’s reasonable that we are going to have around 10% in Bitcoin and 10% to 15% in gold.” This strategy helps spread risk and keeps USDT reliable, even during global tensions or when traditional currencies lose value.

Digital dollar growth and market reach

Tether’s USDT now has over 530 million users around the world, making it the third-biggest cryptocurrency after Bitcoin and Ether, according to CoinMarketCap. The company also invests more than $20 billion in areas like AI, fintech, media, energy, agriculture, and digital asset companies. These investments come from extra profits and are separate from the funds that back USDT. 

According to DeFiLlama data, the current market capitalization of all stablecoins is $305.8 billion, with USDT dominating the market at 60.6%. This is an indication of the financial health of Tether, which is critical to the success of the cryptocurrency market.

Ardoino explained, “USD₮ expanded because global demand for dollars is increasingly moving outside traditional banking rails.” The company’s disciplined management ensures USD₮ remains reliable during periods of extreme demand.

Meanwhile, it is also worth noting that Tether has expanded its services to Africa. This was evident from a video posted by the CEO recently, featuring internet sensation iShowSpeed using the USDT coin for shopping in Nigeria. In the video, he explained how USDT works in real life as he used the coin to purchase $1,500 worth of goods in Nigeria. 

However, before iShowSpeed was allowed to make a payment using the USDT coin, he first asked the owner of the shop whether he would accept payment using Apple Pay, but the shopkeeper responded by saying that he does not accept payment using Apple Pay. This, therefore, indicates the difficulties that popular payment systems face when trying to enter new markets.

Also Read: Why Justin Sun Thinks Trillions Will Move to TRON in 2026

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