Written by: James, BlockTempo
The issuer of the U.S. dollar stablecoin USDT, Tether, today announced that its Q3 reserve report audited by BDO, one of the top five independent public accounting firms globally, shows a net profit of $2.5 billion for the quarter, with cumulative profits of $7.7 billion for the first nine months of the year, group equity reaching $14.2 billion, and total assets amounting to $134.4 billion, all setting new historical highs.
Tether pointed out that its net profit of $2.5 billion in the third quarter was primarily driven by strong performance in its gold holdings, which generated approximately $1.1 billion in unrealized profits, while the remaining $1.3 billion profit came from U.S. Treasury bond yields.
Tether stated that one of the highlights of the quarter was that, benefiting from the demand for stablecoins, the circulation of USDT grew by $27.8 billion year-to-date to nearly $120 billion, a growth rate of 30%, and the growth scale is almost equivalent to the total market capitalization of its competitor USDC.
Tether's reserve situation
Regarding reserves, as of the third quarter, Tether's asset reserves amounted to $125.5 billion, liabilities were $119.4 billion, and excess reserves increased to over $6 billion, with a non-annualized growth rate of 15% over 9 months.
Tether currently holds over $105 billion in cash and cash equivalents, with direct and indirect holdings of U.S. Treasury bonds amounting to $102.5 billion, making Tether one of the top 18 holders of U.S. Treasuries globally, ranking even higher than Germany, Australia, and the United Arab Emirates.
In the third quarter, Tether also increased its holdings of Bitcoin and gold, with positions valued at $4.8 billion and $5 billion, respectively.
Self-managed investment scale reached $7.7 billion.
Additionally, according to Tether's long-term vision, its self-managed investment division Tether Investments has reached a net asset value of $7.7 billion, up from $6.2 billion in the previous quarter. This division's strategic investments span key industries such as renewable energy, Bitcoin mining, AI, telecommunications, and education, and holds 7,100 Bitcoins.
Tether CEO Paolo Ardoino stated that Tether's performance in the third quarter reflects its unwavering commitment to transparency, liquidity, and responsible risk management, with the stablecoin market capitalization reaching the milestone of $120 billion and holding $102.5 billion in U.S. Treasuries, highlighting the company's unparalleled financial strength.
"By increasing our reserve buffer to over $6 billion and maintaining a focus on strategic investments, Tether once again sets the standard for stability in the financial sector."