Tether Reports $13B Profit in 2024, Expands US Treasury Holdings

Tether recorded an unprecedented $13 billion in profits last year, fueled by the increasing demand for its USD-pegged stablecoin, USDT.

The company now holds approximately $113 billion in US government bonds, reinforcing its claim that each USDT is backed by liquid dollar-denominated assets.

By the end of 2024, USDT’s market capitalization reached $137 billion, while Tether’s total reserves exceeded $143 billion, according to an independent attestation by BDO. The firm’s net equity stands at $20 billion, reflecting its strong financial position. Throughout the year, Tether issued $45 billion in new USDT, with $23 billion minted in the fourth quarter alone.

In addition to government bonds, Tether has expanded its holdings in Bitcoin and gold, with crypto investments contributing $5 billion to its annual earnings. The company also secured a digital asset service provider license in El Salvador, establishing its headquarters in the country.

Beyond stablecoins, Tether is diversifying its focus, directing profits toward sustainable energy, Bitcoin mining, AI infrastructure, telecommunications, neurotechnology, and education.

Despite its financial success, USDT’s market dominance declined to 65% in 2024, as competition from Circle’s USDC intensified. USDC’s market cap reached $52 billion, with a strong presence on Solana, where it now represents 78% of the stablecoin supply. USDT’s position in centralized exchanges remains firm, holding 82% of the market, but concerns over Tether’s compliance with European crypto regulations have contributed to USDC’s rising influence.