Tether, the world's largest stablecoin USDT issuer, released its financial report for the second quarter of 2024 on July 31. The report shows that Tether's net profit in the first half of this year reached US$5.2 billion, a record high. In particular, in the second quarter (April to June), its operating net profit reached US$1.3 billion, also setting a new record.

In 2023, Tether achieved an annual net profit of US$6.2 billion, a figure that not only surpassed the US$5.5 billion net profit of asset management giant BlackRock, but was also equivalent to 78% of Goldman Sachs' US$7.9 billion net profit and 72% of Morgan Stanley's US$8.5 billion net profit.

Tether has only about 100 employees, which means that each employee brought the company an average of $62 million in net profit in 2023. In comparison, Goldman Sachs, Morgan Stanley and BlackRock have 45,000, 80,000 and 20,000 employees respectively.$BNB

Although Tether's wallet is full of profits, the Wall Street Journal published a long article on the 10th titled "The Shadow Dollar Weaving the Underground Financial World - Tether."

The article points out that USDT is an unregulated and large-scale currency that is undermining the US's efforts to combat arms dealers, sanctions violators and fraudsters, with a daily trading volume of up to $190 billion. $BTC

Since USDT is tied to the US dollar at a 1:1 ratio and can operate without the supervision of US law enforcement agencies, many criminals and sanctioned persons use it as a trading tool. In addition, in regions where the US restricts the US dollar system, such as Iran, Venezuela, and Russia, USDT has gained great growth as a hidden dollar and is often used for cross-border fund transfers.

S&P Ratings: Tether Approaching Most Dangerous Level

On the other hand, the US consumer protection organization Consumers’ Research released a report on the 12th, warning the stablecoin issuer Tether. The report pointed out that Tether’s US dollar reserves lack transparency, which is similar to the situation that led to the collapse of FTX.